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[00:00:13]

TAKE THEIR SEATS.

I WANT TO ANNOUNCE THERE'S OVERFLOW VIEWING IN THE COUNCIL CHAMBERS.

FOR THOSE OF YOU WHO DON'T HAVE A SEAT, THERE IS OVERFLOW VIEWING IN THE COUNCIL CHAMBERS.

>> MAYOR, WE DO HAVE A QUORUM.

>> MAYOR NIRENBERG: THANK YOU, AND GOOD AFTERNOON EVERYONE.

THE TIME IS 2:10 P.M.

WELCOME TO OUR CITY COUNCIL B SESSION.

WE HAVE ONE ITEM ON THE AGENDA TODAY, AND JUDGING BY THE ATTENDANCE IN A CITY COUNCIL WORK SESSION IT IS A HIGHLY CHARGED AND IMPORTANT ISSUE.

SO LET ME GO AHEAD AND INTRODUCE OUR SUBJECT.

TODAY'S BRIEFING WILL DETAIL THE RECOMMENDATIONS OF THE MAYOR'S HOUSING POLICY TASK FORCE.

I APPOINTED THE FIVE-MEMBER TASK FORCE LAST AUGUST TO ADDRESS THE GROWING NEED FOR HOUSING AFFORDABILITY, AND I'M PLEASED WITH THE GROUP'S DEDICATION AND HARD WORK.

CRAFTING THESE PROPOSALS HAS NO DOUBT BEEN A HUGE UNDERTAKING, AND I'M PROUD TO SAY THAT THEY PRODUCED RESULTS.

A DEARTH OF AFFORDABLE HOUSING IS AN ISSUE IN MANY PARTS OF THE NATION, AND WE GET -- AND WE NEED TO GET IN FRONT OF THE PROBLEM HERE IN SAN ANTONIO BEFORE IT REACHES THE DRAMATIC CRISIS SITUATIONS THAT IT HAS IN OTHER AREAS.

BY ADDRESSING THE ISSUE NOW I'M CONFIDENT SAN ANTONIO CAN AVOID THE MULTI-MILLION-DOLLAR HOUSING -- THE MULTI-MILLION HOUSING BOND ISSUES THAT ARE BEING CONSIDERED BY OTHER CITIES.

I'M EXCITED ABOUT THE ENERGY AND INTEREST OUR COMMUNITY HAS SHOWN IN WANTING TO TACKLE OUR HOUSING CHALLENGES TOGETHER.

IT'S CRITICAL TO THE FUTURE OF OUR CITY THAT WE DO THIS WELL AND THAT WE DO IT NOW.

AS SOME OF YOU HEARD ME SAY, SAN ANTONIO WILL DOUBLE IN SIZE BY 2050, AND WITH AN ADDITIONAL 1.1 MILLION PEOPLE CALLING OUR HOME -- IN THE NEXT 25 YEARS, SAN ANTONIO WILL SOON BECOME THE SIZE OF CHICAGO.

OVER THE NEXT 20 YEARS WE WILL NEED MANY NEW HOUSING UNITS IN SAN ANTONIO AND HOW AND WHERE THESE HOMES ARE BUILT WILL HELP SHAPE THE CITY'S FUTURE, ITS QUALITY OF LIFE AND THE OPPORTUNITIES FOR ITS CITIZENS.

ALL SAN ANTONIANS DESERVE TO LIVE WITH DIGNITY, AND OUR CITY SHOULD FEATURE A DIVERSE HOUSING STOCK THAT IS HIGH QUALITY, THAT IS AFFORDABLE, AND THAT IS SUSTAINABLE.

THE AVERAGE FAMILY MUST BE ABLE TO AFFORD THE AVERAGE HOME.

IT'S VERY SIMPLE, AND WE WANT TO REDUCE REGULATIONS SO THAT DEVELOPERS HAVE INCENTIVES TO BUILD WITHIN OUR CITY LIMITS AND BUILD THE SUSTAINABLE AND QUALITY HOUSING STOCK THAT WE NEED.

BEFORE TURNING OVER THE FLOOR TO THE TASK FORCE PRESENTATION ALLOW ME TO INTRODUCE THE MEMBERS.

FIRST, FORMER CITY COUNCILWOMAN MARIA BERRY SA OF ALL.

SHE'S THE KEEPER OF FLAME ON THE HOUSING ISSUE FOR DECK AITH.

[APPLAUSE] -- DECADES.

MARIA LED EFFORTS DURING THE 1980S AND SHE'S CONTINUED TO WORK FOR THE CAUSE AND MANY OTHERS SINCE THOSE DAYS.

IN FACT, BEFORE THE VERY FIRST PUBLIC MEETING SHE HANDED ME AN AGENDA OF A HOUSING TASK FORCE MEETING THAT WAS IDENTICAL TO THE ONE WE WERE TACKLING A DAY LATER, THE DIFFERENCE BEING THAT THERE WAS A COMMITMENT FROM THE DIVERSITY OF OUR COMMUNITY, FROM ALL TEN DISTRICTS TO ACTUALLY GET THIS DONE AND SOLVE THIS INCREDIBLE CHALLENGE.

SHE IS THE CONSCIENCE OF OUR COMMUNITY AND A SELFLESS PUBLIC SERVANT IN AND OUT OF PUBLIC POSITIONS.

THANK YOU, MARIA.

JIM BAILEY, ASSOCIATE PRINCIPAL OF ALAMO ARCHITECTS.

[APPLAUSE] A GEEK I FOUND OUT YESTERDAY.

THANK YOU, JIM.

JEAN DAWSON, OWNER OF PAPE-DAWSON ENGINEERING.

[APPLAUSE] NOAH GARCIA, SENIOR VICE PRESIDENT ADVANTAGE BANK.

[APPLAUSE] AND CHAIRWOMAN LOURDES CASTRO RAMIREZ, FORMER CEO OF THE SAN ANTONIO HOUSING AUTHORITY AND FORMER PRINCIPAL DEPUTY ASSISTANT SECRETARY OF THE U.S.

HOUSING AND URBAN DEVELOPMENT DEPARTMENT.

[APPLAUSE] HER LEADERSHIP IN THIS EFFORT HAS BEEN ALL I HOPED IT WOULD BE, AND NOW LOURDES IN JUST A MOMENT WILL MAKE OUR -- BEGIN OUR PRESENTATION.

ALL OF THESE FOLKS HAVE DEDICATED A SIGNIFICANT PORTION OF THEIR LIVES OVER THE LAST TEN MONTHS TO THIS PROCESS.

THEY HAVE BEEN ALL UNPAID FOR THE EFFORTS, AND I CAN'T BEGIN TO TELL YOU HOW

[00:05:01]

GRATEFUL THIS WHOLE CITY IS FOR THE WORK THAT YOU'VE DONE.

I ALSO WANT TO RECOGNIZE A FEW OTHER FOLKS IN THE ROOM, MEMBERS OF OUR FAITH COMMUNITY WHO ARE HERE, WHO HAVE ORGANIZED BEHIND THE EFFORT OF EQUITABLE QUALITY, AFFORDABLE HOUSING FOR THE CITY OF SAN ANTONIO, SO LET ME RECOGNIZE JUST A FEW.

DR. LES HOLLAND FROM TRINITY BAPTIST CHURCH IS HERE.

[APPLAUSE] RABBI DAVID CAMEROVSKI FROM -- FATHER MIKE FROM ST. TI.

[APPLAUSE] SISTER ANN KIRK AND THE SISTERS OF THE INCARNATE WORD.

[APPLAUSE] AND I KNOW THERE'S MANY OTHER FAITH LEADERS WHO ARE HERE, SO LET ME JUST CLOSE MY OPENING STATEMENT BY ACKNOWLEDGING THE FACT THAT THIS IS GOING TO BE DIFFICULT WORK, BUT IT'S WORK THAT WE NEED TO DO FOR THE FUTURE AND THE VITALITY OF OUR CITY.

30 YEARS AGO, I THINK IT WAS MARCH 1988, THE OUT GOING MAYOR, HENRY CISNEROS ISSUED

>> LOURDES, THE FLOOR IS YOURS.

>> GOOD AFTERNOON, EVERYONE.

MAYOR AND COUNCIL MEMBERS, ON BEHALF OF MY COLLEAGUES ON THE MAYOR'S HOUSING POLICY TASK FORCE I'D LIKE TO THANK EACH OF YOU FOR YOUR COMMITMENT TO IMPROVING SAN ANTONIO.

I'D LIKE TO ALSO THANK YOU FOR COMING OUT TO OUR VARIOUS PUBLIC AND COMMUNITY MEETINGS, AND FOR ALSO SPENDING THE TIME TO MEET WITH US INDIVIDUALLY, TO SHARE YOUR CONCERNS, YOUR SOLUTIONS AND THE THINGS THAT YOU'RE HEARING IN YOUR RESPECTIVE DISTRICTS, AND OF COURSE MORE RECENTLY WE'D LIKE TO THANK YOU FOR PRIORITIZING HOUSING IN THIS YEAR'S BUDGET PROCESS.

COUNCILWOMAN VIAGRAN AND TO THE MEMBERS OF THE HOUSING TRUST, WE APPRECIATE THE FACT THAT YOU ALLOCATED FUNDING TO THIS EFFORT.

YOUR FUNDING, OR THE FUNDING THAT CAME TO THE TASK FORCE ALLOWED US TO BE ABLE TO HIRE NATIONAL AND LOCAL EXPERTISE, WHICH WAS CRITICALLY IMPORTANT IN INFORMING THIS PROCESS.

CITY MANAGER, SHERYL SCULLEY, THANK YOU.

WE'RE VERY GRATEFUL FOR YOUR PARTNERSHIP, FOR WORKING WITH US AND FOR ALSO ENSURING THAT WE HAD THE SUPPORT OF YOUR TEAM, LED BY DEPUTY CITY MANAGER PETER ZANONI AND ALSO THE DIRECTOR OF NEIGHBORHOOD AND HOUSING SERVICES.

WE VERY MUCH APPRECIATE THE FACT THAT THEY WERE SIDE BY SIDE WITH US THROUGHOUT THIS PROCESS, PROVIDING INFORMATION, PROVIDING THEIR PERSPECTIVE, AND REALLY SERVING AS RESOURCE, AND COUNCILWOMAN GONZALES WHO'S NOT YET HERE, BUT TO THE MEMBERS OF THE COMMITTEE THAT WE MET WITH LAST WEEK, THE COMPREHENSIVE PLAN COMMITTEE, WE FOUND THAT CONVERSATION TO BE VERY HELPFUL, TO HAVE BEEN VERY INSTRUCTIVE.

WE HEARD YOUR COMMENTS, COUNCILMAN TREVINO, ABOUT SENIORS.

WE HEARD YOU WHEN YOU SAID IT'S VERY IMPORTANT FOR US TO INCLUDE PEOPLE AS WE PLAN NEW PUBLIC INVESTMENTS.

WE ALSO HEARD YOU, COUNCILMAN COURAGE, YOU REMINDED US THAT OUR APPROACH MUST BE MULTIFACETED.

IT CAN'T JUST FOCUS ON ONE ASPECT.

IT HAS TO INCLUDE SINGLE-FAMILY -- A SINGLE-FAMILY APPROACH, A MULTI-FAMILY APPROACH, AND ALSO THAT WE NEED TO FOCUS ON REHABILITATION AND RETROFITTING.

YOU ALSO ASKED US TO EXPLORE MORE DEEPLY THE DEFINITION OF AFFORDABLE HOUSING AND WORKFORCE HOUSING, AND COUNCILMAN SALDANA, YOU ENCOURAGED US TO BE BOLD.

YOU SAID BE BOLD WITH YOUR RECOMMENDATIONS, AND BE VERY DIRECT AND DO THINGS THAT HAVE BEEN -- THAT HAVE NEVER BEEN DONE BEFORE.

AND AS WE WRAPPED UP THAT MEETING LAST WEEK COUNCILWOMAN GONZALES REMINDED US THAT SAN ANTONIO IS A YOUNG CITY.

IT'S YOUTHFUL AND IT'S GROWING, AND THAT WE NEED TO CONSIDER THE DEMOGRAPHICS OF OUR CITY AS WE FORMULATE OUR POLICY RECOMMENDATIONS.

SO IN AUGUST OF 2017 MAYOR RON NIRENBERG APPOINTED THE FIVE OF US.

JIM, MARIA, JEAN, NOAH AND

[00:10:06]

LOURDES, FIVE VERY DIVERSE INDIVIDUALS TO THIS TASK FORCE, AND HE GAVE US ONE SINGULAR CHARGE: TO DEVELOP A COMPREHENSIVE AND COMPASSIONATE HOUSING POLICY FRAMEWORK.

THIS BY NO MEANS, MAYOR, AS YOU SAID, IS AN EASY TASK, BUT WE HAVE DONE OUR BEST TO DEVELOP A DATA-DRIVEN AND COMMUNITY-DRIVEN PROCESS.

FOR THE PAST TEN MONTHS WE EMBARKED ON AN EDUCATIONAL PROCESS, AND WE TOOK A DEEP DIVE INTO UNDERSTANDING THE CURRENT CHALLENGES IMPACTING HOUSING STABILITY, HOUSING QUALITY AND HOUSING AFFORDABILITY.

WE TOOK INTO ACCOUNT THE CITY'S HISTORY AND FUNDAMENTALLY FOCUSED ON THE CITY'S FUTURE.

WE READ THROUGH OVER 20 LOCAL HOUSING REPORTS, RIGHT, MARIA? MANY OF THEM INTRODUCED BY MARIA.

WE REVIEWED COUNTLESS INFORMATION ABOUT FEDERAL FUNDING AND STATE FUNDING.

WE ANALYZED DEMOGRAPHIC, ECONOMIC AND MARKET DATA, AND WE STUDIED OVER A DOZEN HOUSING PLANS FROM CITIES ALL ACROSS AMERICA.

WE DID NOT LIMIT OURSELVES TO A PARTICULAR SEGMENT OF HOUSING OR OF THE HOUSING MARKET.

THIS WAS A WHOLE SYSTEM ANALYSIS FOR ALL SAN ANTONIANS.

THIS WAS WHAT I CONSIDER THE COMPREHENSIVE PART OF OUR CHARGE, BUT THE MAYOR, MAYOR, YOU ASKED US ALSO TO DEVELOP A COMPASSIONATE PLAN.

SO WHAT DOES COMPASSION MEAN? IT MEANT THAT WE NEEDED TO FOCUS ON THE PEOPLE, ON CHILDREN, ON FAMILIES, ON WORKERS, ON YOUTH, ON SPECIAL POPULATIONS, ON SENIORS, ON ALL PEOPLE, ESPECIALLY THOSE MOST VULNERABLE.

THOSE WHO ARE PAYING MORE THAN 30% OF THEIR INCOME TOWARDS HOUSING, YET THEY LIVE IN SUBSTANDARD HOUSING CONDITIONS IN OUR CITY, OFTENTIMES NOT ABLE TO PAY FOR FOOD, FOR HEALTH CARE, FOR TRANSPORTATION AND OTHER BASIC NECESSITIES.

THE YOUNG MARRIED COUPLE LOOKING TO PURCHASE THEIR FIRST HOME, YOU KNOW, THAT DOESN'T KNOW WHERE TO START, WHERE TO BEGIN THE PROCESS.

THE HOMELESS VETERAN WHO HAS SERVED OUR COUNTRY AND STRUGGLES WITH MENTAL HEALTH AND HOUSING INSECURITY.

THE FAMILIES STRUGGLING TO KEEP THEIR HOME BECAUSE OF RISING PROPERTY TAXES.

THE OLDER CITIZEN WHO HAS LIVED IN HER HOME FOR OVER 30 YEARS AND NEEDS HELP RETROFITTING AND REHABBING HER HOUSE.

ONE OF OUR MEMBERS SAID AT ONE POINT, NEXT TO EDUCATION HOUSING IS THE SINGLE MOST IMPORTANT ISSUE FACING OUR CITY, AND WE'RE FULLY AWARE OF THAT AS A TASK FORCE.

WE UNDERSTAND THAT THE RECOMMENDATIONS THAT WE WILL BE MAKING WILL AFFECT GENERATIONS TO COME.

SO WE DEVELOPED A PROCESS THAT HELPED US BETTER APPRECIATE THE GRAVITY OF THE PROBLEM.

YOU SEE, THE SITUATION HAS BEEN MANY YEARS IN THE MAKING, AS DR. CHRISTINE DRENNAN, WHO'S ALSO I THINK HERE WITH US, POINTS OUT IN THE ANALYSIS THAT SHE HAS DONE ON ECONOMIC AND RESIDENTIAL SEGREGATION, THESE PATTERNS OF INEQUALITY HAVE BEEN WITH US FOR MANY, MANY DECADES.

TO REVERSE THIS WE MUST MAKE HOUSING A PRIORITY.

WE MUST DEVELOP A COORDINATED HOUSING SYSTEM THAT NOT ONLY ADMINISTERS FEDERAL HOUSING PROGRAMS BUT ALSO INNOVATES AND LEADS, WORKING IN PARTNERSHIP WITH HOUSING PROVIDERS, THE PRIVATE SECTOR AND RESIDENTS IN OUR COMMUNITY.

WE MUST ALSO MAKE SIGNIFICANT INVESTMENTS AND DEDICATE FUNDING TO EXPAND HOUSING OPTIONS AND OPPORTUNITY FOR ALL.

GIVEN SAN ANTONIO'S DEMOGRAPHIC AND ECONOMIC GROWTH, INVESTING IN HOUSING IS AN ECONOMIC IMPERATIVE.

IF WE FAIL TO DO THIS, OUR REGIONAL ECONOMY WILL SUFFER.

THE HOUSING MARKET WILL BECOME A HEADWIND FOR BUSINESS GROWTH.

WE KNOW ALSO THAT WHERE YOU LIVE AFFECTS THE QUALITY OF YOUR LIFE.

IT AFFECTS YOUR HEALTH, AND IT AFFECTS YOUR FUTURE.

SO AS OUR CITY CONTINUES TO GROW AND DIVERSIFY, IT IS THE RESPONSIBILITY OF ELECTED OFFICIALS, OF THE BUSINESS COMMUNITY, BUSINESS LEADERS, OF LOCAL COMMUNITY GROUPS AND FUNDERS TO WORK TOGETHER TO BUILD A STRONGER CITY, MAKING CERTAIN THAT EVERYONE HAS A PLACE TO CALL

[00:15:02]

HOME.

OUR PROCESS ENGAGED A VERY BROAD CONSTITUENCY THAT CLEARLY EXPECTS ACTION FROM THIS COUNCIL AND FROM CITY STAFF.

IN ADDRESSING HOUSING AND EQUITABLE DEVELOPMENT NOW, SAN ANTONIO HAS THE OPPORTUNITY TO LEAD THE NATION AND TO PREVENT THIS PROBLEM FROM BECOMING A HOUSING CRISIS.

SO TOGETHER WITH MY TEAM MEMBERS ON THE TASK FORCE FROM DIFFERENT BACKGROUNDS AND DIFFERENT PERSPECTIVES, GUIDED BY THE HISTORY OF OUR CITY, GUIDED BY DATA AND BY THE COMMUNITY INPUT THAT WE RECEIVED THROUGHOUT THE PROCESS, WE REACHED UNANIMITY, OR WE BASICALLY REACHED A UNANIMOUS DECISION ON THE RECOMMENDATIONS THAT WE WILL BE PRESENTING TO ALL OF YOU TODAY.

THIS IS PRETTY IMMEDIATE IMPLEMENTATION.

I MENTIONED TO ALL OF YOU THAT WE BEGAN THIS PROCESS ENSUY ENGAGEMENT -- TO ENSURE THAT WE WERE DOING OUR BEST TO BRING PEOPLE OUT AND TO UNDERSTAND THE ISSUES AND THE EXPERIENCES, WE PARTNERED UP WITH A NUMBER OF ORGANIZATIONS, AS YOU CAN SEE, AND I KNOW MANY OF YOU ARE REPRESENTED HERE TODAY, THE CHAMBERS, COMMUNITY GROUPS, SA 2020, AND OF COURSE THE CITY PLAYED A REALLY CRITICAL PART IN HELPING US INFORM AND GET INFORMATION OUT TO THE COMMUNITY.

WE ALSO DID OUR BEST TO STAY TRUE TO THIS COMPREHENSIVE AND COMPASSIONATE APPROACH.

THIS ILLUSTRATION OF THIS PYRAMID BASICALLY CAPTURES ALL OF THE VARIOUS

[00:21:47]

THE PROBLEM WAS FIVE GROUPS, FIVE RECOMMENDATIONS IS 25 RECOMMENDATIONS.

WELL, WE GOT 300 RECOMMENDATIONS, AND THE REASON FOR THAT HOUSING IS COMPLICATED.

IT CANNOT BE CRUSHED DOWN INTO 25 RECOMMENDATIONS, BUT THIS PIE CHART KIND OF GIVES YOU AN IDEA OF THOSE WORKING GROUPS THAT HAD ABOUT 125 PEOPLE, EXPERTS IN THE FIELD, DIFFERENT AREAS OF HOUSING, 137, OR 43% OF THOSE INDIVIDUALS FELT LIKE WE NEEDED A BETTER COORDINATED SYSTEM, AND 29% OF OUR COMMENTS CAME BACK AND RECOMMENDATIONS WERE AROUND FUNDING.

SO YOU CAN IMAGINE OUR ACTION ITEMS ARE WITH EMPHASIS ON A COORDINATED SYSTEM AND FUNDING.

AS LOURDES SAID, WE WANTED TO BE DATA-DRIVEN, AND THE FIRST QUESTION IS, WHAT IS AFFORDABLE HOUSING? WE DEFINE AFFORDABILITY AS PAYING NO MORE THAN 30% OF YOUR GROSS INCOME ON HOUSING, AND THAT'S NOT JUST ON THE RENT OR THE MORTGAGE.

THAT INCLUDES THE ELECTRIC, THE INSURANCE, ANYTHING THAT IS ASSOCIATED WITH HOUSING.

SO THIS IS A NATIONAL STANDARD, AND THIS PIE CHART SHOWS YOU THE 30% ON HOUSING, BUT IT'S ALSO IMPORTANT TO RECOGNIZE THAT IT SHOULD BE ABOUT 15% ON YOUR TRANSPORTATION.

THE NATIONAL NARRATIVE IS ABOUT 45% COMBINED GROSS INCOME TOWARDS HOUSING AND TRANSPORTATION.

WHY IS THAT? WELL, LOGICALLY IF YOU BUY A HOUSE THAT COSTS A LITTLE MORE, A LITTLE MORE THAN 30% BUT YOU'RE ACROSS THE STREET FROM YOUR JOB AND YOUR TRANSPORTATION COSTS ARE DOWN, THEN YOU CAN PAY A LITTLE BIT MORE FOR HOUSING, AND VICE VERSA.

SO THAT'S WHY YOU'LL SEE BOTH OF THESE ON THIS CHART.

THIS IS AN IMPORTANT CHART.

WE HAVE A LOT OF CHARTS IN HERE.

THIS ONE I WILL CALL YOUR ATTENTION TO.

WHEN IS IT NOT AFFORDABLE? IN SAN ANTONIO WE HAVE 165,000 HOUSEHOLDS THAT ARE COST BURDENED, IN OTHER WORDS, PAYING MORE THAN 30% OF THEIR GROSS INCOME TOWARDS THEIR HOUSING.

THIS CHART, RIGHT AT THE VERY TOP, WILL SHOW YOU THAT THE ANNUAL MEDIAN INCOME IN SAN ANTONIO IS ABOUT $49,000.

NOW, THAT COULD BE CONFUSING.

YOU MAY HAVE SEEN OTHER NUMBERS BEFORE, BUT THIS IS THE SAN ANTONIO CITY LIMITS NUMBER.

THIS IS NOT THE HUD NUMBERS, NOT THE BEXAR COUNTY NUMBERS, NOT THE METRO NUMBER.

YOU KNOW, SAN ANTONIO'S METRO AREA GOES UP TO NEW BRAUNFELS AND HAS CIBOLO AND SCHERTZ, BUT THIS IS THE CORE SAN ANTONIO.

YOU WILL ALSO HEAR US TALK ABOUT 30% AMI, 60%, 80% AMIE.

30% AMI IS ABOUT PROBABLY MINIMUM WAGE.

THAT'S WHAT YOU'LL HIT THERE.

AND THEN AT 60% AMI, ABOUT $30,000 A YEAR.

THAT OF COURSE IS ABOUT $15 AN HOUR.

AND THEN AS YOU GO UP THE NUMBERS GO UP.

WELL, WHO IS THAT? WHO ARE THE PEOPLE THAT WE ARE TALKING ABOUT? YOU CAN SEE HERE THAT AT 100% AMI, THESE ARE REALLY -- AND BELOW, THESE ARE THE INDIVIDUALS WE DEAL WITH EVERY DAY.

THESE ARE YOUR SCHOOLTEACHERS, YOUR EMERGENCY SERVICE PROVIDERS, YOUR AGRICULTURAL WORKERS, THE PEOPLE ACROSS THE COUNTER FROM YOU.

[00:25:01]

THESE ARE THE INDIVIDUALS THAT WE'RE TALKING ABOUT, OUR WORKFORCE.

THIS IS NOT SOME GROUP -- YOU KNOW, SOME GROUP THAT WE DON'T EVEN KNOW WHO THEY ARE. THESE ARE THE PEOPLE OF SAN ANTONIO.

THIS SLIDE SHOULD GET YOUR ATTENTION, BECAUSE WHAT WE ARE GOING TO DO THROUGH THE NARRATIVE OF THIS PRESENTATION IS LINK ECONOMIC DEVELOPMENT TO HOUSING, AND THIS IS THE NUMBER OF EMPLOYEES BY SALARY DISTRIBUTION FOR JOINT BASE SAN ANTONIO, AND YOU CAN SEE HERE BELOW 50,000 -- THERE'S 39,000 EMPLOYEES ON THIS, AND THOSE MAKING LESS THAN 100% AMI, LESS THAN $50,000 A YEAR, THERE'S MORE THAN 10,000 AT JOINT BASE SAN ANTONIO MAKING BELOW 100% AMI, AND THIS IS WHY HOUSING IS IMPORTANT TO SAN ANTONIO.

WE CANNOT LOSE OUR AFFORDABILITY.

IT'S ONE OF OUR ECONOMIC DEVELOPMENT SECRET WEAPONS.

IF WE LOSE OUR AFFORDABILITY IT CAN START IMPACTING THINGS LIKE BASE REALIGNMENT.

SO WHY ARE WE HERE? WHAT DOES THE DATA SAY? WE'VE DONE PRETTY WELL IN SAN ANTONIO OVER THE LAST 13 YEARS, FROM 2005 ON AVERAGE WE'VE CREATED ABOUT 14,900 JOBS A YEAR.

HOWEVER, WE'VE ONLY CREATED ABOUT 66 UNITS OF HOUSING PER YEAR.

THAT'S A RATIO OF 2.3 TO 1.

A NATIONAL GOAL OR AVERAGE IS 1 TO 1.

SO WHAT DOES THAT MEAN? WE'RE CREATING THE JOBS FOR OUR COMMUNITY BUT WE'RE NOT GETTING THE FULL BENEFIT.

THOSE THAT ARE TAKING THOSE JOBS ARE COMING IN FROM OUTSIDE OF SAN ANTONIO, DRIVING TO THOSE JOBS, AND WE ARE NOT CREATING THE TAX BASE, THE BENEFIT OF GETTING THOSE JOBS, SO WE ARE NOT CREATING ENOUGH HOUSING IN OUR COMMUNITY.

I THINK WE ALL KNOW THIS.

ANYBODY THAT IS, YOU KNOW, IN HOUSING, OUR CPI OVER THE LAST DECADE AND A HALF HAS GONE UP ABOUT 41%, BUT THE COST OF HOUSING HAS GONE UP 109%.

THIS IS A NATIONAL STATISTIC, BUT JUST REMIND YOU, THIS IS AT THE CORE OF THE PROBLEM.

HOUSING IS TOO EXPENSIVE.

LET'S BRING IT A LITTLE BACK HOME.

THIS IS AN IMPORTANT SLIDE HERE.

IN 2001, IN OUR METRO AREA, 82% OF ALL HOUSING WAS IN BEXAR COUNTY, SO, YOU KNOW, THE HOME BUILDERS ASSOCIATION, BUILDING THE NEW HOMES, APARTMENT ASSOCIATION, BUILDING NEW APARTMENTS WILL 82% OF THOSE WOULD HAVE BEEN IN BEXAR COUNTY.

TODAY ONLY 69% OF THOSE ARE BUILT IN BEXAR COUNTY: THE CIBOLO, SCHERTZ, NEW BRAUNFELS, A LOT OF OUR HOUSING CONSTRUCTION IS MOVING UP THAT CORRIDOR CREATING A SUPPLY AND DEMAND PROBLEM.

THIS CHART SHOWS YOU TWO STATISTICS THAT ARE VERY IMPORTANT.

YOU CAN SEE IN 2004 ON THE LEFT-HAND SIDE THERE 75% OF ALL HOMES SOLD IN BEXAR COUNTY WERE NEW HOMES, AND BY THIS PAST YEAR, ONLY 30% OF THE HOMES SOLD IN BEXAR COUNTY WERE NEW HOMES.

AND SO WHAT WE WERE ABLE TO DO IN 2004 AND THROUGH THE REST OF THAT DECADE IS WE WERE AT EQUILIBRIUM.

WE WERE BUILDING ENOUGH AFFORDABLE HOUSING.

YOU'LL SEE ON THE BOTTOM LINE THERE, OF THOSE NEW HOMES BUILT, 7500 OF THEM WERE BELOW $150,000.

AND IN 2017 ZERO NEW HOMES IN THE PRIVATE SECTOR WERE BUILT UNDER $150,000.

THAT GOES DIRECTLY TO OUR SUPPLY AND DEMAND, GOES DIRECTLY TO TO THE REASON WE HAVE AN AFFORDABLE HOUSING PROBLEM.

NOW, I WANT TO GO THROUGH THESE NEXT SLIDES VERY QUICK TO JUST SHOW YOU THE TASK FORCE DOVE INTO THE DATA.

WE LOOKED AT THE HOUSEHOLD GROWTH FROM 2005 TO 2016.

WE LOOKED AT THE HOUSING INVENTORY GROWTH.

WE LOOKED AT THE GAPS, EVERY CATEGORY.

WE MAY HAVE HAD THE HOUSING NUMBER NOT CHANGE, BUT THE COST OF THAT SAME HOUSE GOES UP, SO ITS AFFORDABILITY WENT DOWN.

SO WE LOOKED AT THE GAPS.

AND THE REASON WE'RE LOOKING AT ALL THIS DATA IS TO HELP US DEVELOP A RECOMMENDATION TO COUNCIL TO MOVE OUR HOUSING POLICY FORWARD.

SO WE HAVE 165,000 HOUSEHOLDS COST BURDEN, AND THAT IS SPREAD ACROSS ALL INCOME LEVELS, PRIMARILY, AS YOU WOULD EXPECT IN OUR 30% AMI AND BELOW, WE HAVE 51,000 HOUSEHOLD COST BURDEN, FROM 30 TO 60% ANOTHER 51,000, FROM 60 TO 80, 27,000, ET CETERA, BUT YOU CAN SEE IN THE GRAY LINE THAT MOVES ALL THE WAY OVER, AFFORDABILITY IMPACTS ALL OF SAN ANTONIO.

THIS IS A VERY DISTURBING STATISTIC, ALTHOUGH FROM THE LAST 11 YEARS OR SO, INTEREST RATES HAVE DROPPED FROM 5.8, AND IN 2016 THEY

[00:30:01]

WERE 3.6%.

THEY'VE GONE UP A LITTLE BIT NOW, AND EVEN THOUGH WE WERE PAYING OFF MORTGAGES, WE HAD 667 OF HOUSEHOLDS WITH A MORTGAGE, WE'RE DOWN TO 60%, OUR HOMEOWNER RATE IN SAN ANTONIO HAS DROPPED FROM 61% TO 54%.

THIS IS A DISTURBING TREND, AND AS MENTIONED EARLIER BY LOURDES, WE HAVE A YOUNG COMMUNITY AND OUR YOUNG FAMILIES SHOULD HAVE THE RIGHT TO HOME OWNERSHIP AND BUILDING WEALTH LIKE THE PREVIOUS GENERATION, SO WE WANT TO TRY TO ADDRESS THAT PROBLEM.

THE PROJECTED TRENDS THAT WE SEE IN THE DATA THAT WE REVIEWED BEFORE, WE'RE GOING TO SEE A CONTINUED DECLINE IN FEDERAL ASSISTANCE.

WE'LL SHOW A SLIDE ON THAT LATER.

WE HAVE 34,000 MORE COST BURDENED RENTERS IN THE NEXT TEN YEARS.

WE EXPECT INTEREST RATES TO GO UP.

WE EXPECT TO LOSE ADDITIONAL OWNERSHIP.

WE EXPECT THAT THE SUPPLY AND DEMAND, WE WILL LOSE ANOTHER 29,400 UNITS OF AVAILABLE RENTER HOUSEHOLDS FOR BELOW 60% AMI, AND OUR HOMELESS NEED FOR SERVICES AND NEED FOR SERVICES WILL INCREASE.

WELL, HOW WILL THAT HAPPEN? IF YOU HAVE A SUPPLY AND DEMAND PROBLEM, AND LET'S SAY THAT WE HAVE TEN INDIVIDUALS WANTING TO BUY A HOUSE AND WE HAVE NINE HOUSES.

WELL, THE TENTH PERSON IS GOING TO GET A HOUSE, AND THEN THE NEXT NINE ARE GOING TO NEGOTIATE FOR THE REST OF THE EIGHT HOUSES, AND THAT'S GOING TO GO ON AND ON AND ON UNTIL YOU GET DOWN TO TWO INDIVIDUALS TRYING TO BUY THE LAST HOUSE.

AND THE PERSON WITH THE LEAST CAPABILITY IS GOING TO DROP OUT.

IT'S LIKE MUSICAL CHAIRS AND THEY'RE GOING TO BE THE ONE THAT ENDS UP WITHOUT THE PLACE TO LIVE, AND THAT IS WHY ADDRESSING HOUSING NOW IS IMPORTANT.

A DOLLAR SPENT TODAY WILL SAVE $10 LATER.

THIS IS ANOTHER REASON WHY THIS IS IMPORTANT.

IF HOUSING COSTS ARE RISING YOUR DISCRETIONARY SPENDING GOES DOWN.

OR YOU DRIVE UNTIL YOU QUALIFY.

YOU ALL HAVE HEARD THAT.

YOU JUST KEEP DRIVING OUT 151 TILL YOU FIND A HOUSE YOU CAN AFFORD.

YOU DRIVE TILL YOU QUALIFY.

NOW YOUR TRANSPORTATION GOES UP AND DISCRETIONARY SPENDING GOES DOWN.

HOW DOES THAT IMPACT ALL OF SAN ANTONIO? HOW DOES IT IMPACT BUSINESSES? IF DISCRETIONARY SPENDING GOES DOWN AROUND THE ENTIRE COMMUNITIES THEN WAGES STAGNATE, JOBS STAGNATE AND THEN IT CREATES A CYCLE AND THE ECONOMY OF SAN ANTONIO GOES DOWN.

SO HAVING AFFORDABLE HOUSING IS A KEY COMPONENT OF OUR ECONOMICS IN SAN ANTONIO.

SO WITH ALL THAT IN MIND WE DEVELOPED OUR ACTIONS AND RECOMMENDATIONS, AND IN ANY POLICY THESE ARE THE ECONOMIC PRINCIPLES FROM DAVID SCHWARTZ OVER HERE, VPS, WHO IS REALLY THE BACKBONE OF ALL OF THIS DATA.

YOU HAVE GOOD SYSTEMS AND YOU HAVE GOOD FUNDING, YOU GET A SUCCESSFUL HOUSING POLICY.

WE WANT TO EMPHASIZE AGAIN, THESE ARE THE TOP LINE OF THE WORK THAT HAS BEEN DONE BY THE COMMUNITY AND THE TECHNICAL WORKING GROUPS, AND NOT ALL 300 RECOMMENDATIONS WILL BE INCLUDED IN THE NEXT SEVERAL SLIDES.

WE ANTICIPATE BY THE END OF JULY WE WILL BE PROVIDING WITH YOU A 45 TO 50-PAGE REPORT THAT GIVES YOU EXAMPLES OF EVERYTHING WE LIST HERE AND HOW WE WOULD ACCOMPLISH IT AND OVER WHAT PERIOD OF TIME.

WE CALL THESE OVERARCHING ACTION ITEMS, NOT THEORIES.

THEY'RE NOT THEMES.

WE WANT THESE TO BE ACTION ITEMS. NUMBER ONE, DEVELOP A COORDINATED HOUSING SYSTEM.

NO. 2, INCREASE AFFORDABLE HOUSING PRODUCTION, REHABILITATION AND PRESERVATION.

PROTECT AND PROMOTE NEIGHBORHOODS, ENSURE ACCOUNTABILITY TO THE PUBLIC, AND OF COURSE INCREASE CITY INVESTMENT.

LET'S GO THROUGH THOSE REAL QUICKLY.

DEVELOP A COORDINATED HOUSING SYSTEM, REALLY ONLY TWO PRIORITIES HERE.

THIS IS -- JUMPS OFF THE PAGE AS BEING VERY OBVIOUS.

WE WANT TO PRIORITIZE HOUSING IN NEIGHBORHOODS AND CITY ORGANIZATIONS.

WE NEED TO BUILD THE HUMAN CAPACITY WITHIN THE CITYY GOVERNMENT TO BE -- TAKE ON A LEADERSHIP ROLE WITH HOUSING, AND WE BELIEVE TO DO THAT WE NEED TO FULLY RESOURCE THE STAFF AND HAVE A HOUSING CZAR, AN EXECUTIVE POSITION IN THE CITY MANAGER'S OFFICE THAT'S ORGANIZING ALL OF THE HOUSING ACROSS CITY GOVERNMENT.

IT CAN BE FOUND IN ALL THE DEPARTMENTS, IN ALL OF OUR CITY MANAGER AND DEPUTY CITY MANAGER ROLES, THERE'S SOME COMPONENT OF HOUSING.

WE NEED TO FIND A WAY TO HAVE SOMEONE KEEPING THEIR EYE ON ALL OF THAT.

SECOND AND THIS IS IMPORTANT, WE BELIEVE THE CITY SHOULD TAKE A LEADERSHIP ROLE IN BRINGING TOGETHER THE COMMUNITY AND COORCOORDINATING OUR HOUSING SYSTEM.

ONE OF THE MOST FRUSTRATE GOES THINGS WE'VE BEEN DEALING FOR THE NEXT NINE MONTHS IS WHO'S BEEN DOING WHAT.

AND WE BELIEVE THAT THE CITY OF SAN ANTONIO CAN DO THAT, TAKE A LEADERSHIP ROLE, COORDINATE SERVICES AND THE BEST WAY TO DO THAT IS THROUGH A ONE-STOP CENTER FOR HOUSING SIMILAR TO OUR HOUSING DEVELOPMENT SERVICES

[00:35:02]

ONE-STOP CENTER THAT WE FEEL HAS BEEN VERY SUCCESSFUL.

HYPOTHETICAL ORGANIZATION OL CHART.

WE SHOW THIS WHEN WE TALK ABOUT HUMAN CAPACITY WITHIN THE CITY OF SAN ANTONIO GOVERNMENT, AND THE HOUSING DEPARTMENT, WE HAVE LOOKED AT OTHER CITIES.

WE THINK WE NEED 18 NEW POSITIONS TO DO WHAT WE'RE TALKING ABOUT.

SO JUST TRYING TO KEEP EVERYBODY A WAKE THERE.

-- AWAKE THERE.

[LAUGHTER] 18 NEW POSITIONS IN HOUSING.

NO. 2, INCREASE AFFORDABLE HOUSING PRODUCTION AND REHAB, AND THIS IS DIVIDED INTO TWO PRIORITY AREAS.

ONE OF COURSE IS HOME OWNERSHIP.

WE'VE TALKED ABOUT HOW IMPORTANT THAT IS.

NO. 2 UNDER RENTAL, AND UNDER HOUSING WE NEED TO UP TO 120% AMI. INCENTIVES- WE NEED TO GET PEOPLE IN HOUSES.

WE NEED TO DO THAT, WITH DOWN PAYMENT ASSISTANCE.

WHEN YOU HEAR THAT, DOWN PAYMENT ASSISTANCE, THE CITY ALREADY DOES THIS.

THIS IS MONEY THAT YOU GET BACK.

YOU HELP SOMEONE BUY A HOUSE, THEY BUILD THEIR EQUITY.

WHEN THEY'RE READY TO SELL, THE CITY GETS ITS EQUITY BACK WITH A RETURN ON EQUITY.

WE INCREASE FUNDING FOR HOUSING REHABILITATION PROGRAMS, BUT NOT LIMITED TO HOME OWNER OCCUPIED REHAB UNDER ONE ROOF, MINOR REPAIR, ET CETERA.

PEOPLE GET CONFUSED WITH REHABILITATION AND PRESENTATION.

WHAT DO WE MEAN BY THAT? THE CHEAPEST HOUSE WE CAN CREATE IS A HOUSE THAT ALREADY EXISTS.

WE CANNOT LET IT FALL OFF OF THE USABILITY.

SO REHABILITATION IS A VERY EFFECTIVE WAY TO USE OUR DOLLARS AND THAT'S WHAT WE'RE TALKING ABOUT.

REHABILITATING EXISTING HOUSING STOCK.

WHEN WE TALK ABOUT PRESERVATION, WE'RE TALKING ABOUT PRESERVING HOUSING UNITS THAT ARE ALREADY LIVABLE BUT THEY MAY BE DROPPING OFF THE AFFORDABILITY SCALE, EITHER BECAUSE THEY WERE SOME KIND OF A TAX CREDIT AGREEMENT AND THEIR TIME FRAME IS RUNNING OUT OR JUST BY THE NATURAL NATURE OF THE ECONOMY, THE AFFORDABLE HOUSING IS GOING AWAY.

SO THAT'S WHAT WE TALK ABOUT WHEN WE TALK ABOUT PRESERVATION.

THESE ARE IMPORTANT RECOMMENDATIONS UNDER PRIORITY FOR RENTAL UNITS.

WE ARE RECOMMENDING 100% INCENTIVES, UP TO 60% AMI AND PHASED BETWEEN 60 AND 80% AMI AND MY NEXT SLIDE WILL EXPLAIN THAT.

AND WE WILL -- AS WE SAID BEFORE, PRIORITIZE FUNDING FOR NEW RENTAL HOUSING IN ALL COMMUNITIES THAT ARE LINKED TO TRANSPORTATION, JOBS, AND CULTURE.

AND WE'LL -- I THINK WE ALL UNDERSTAND WHAT THAT MEANS.

BUT HERE IS WHY WE RECOMMEND THAT OUR INCENTIVES ARE RENTAL INCENTIVES ARE FOCUSED AT 60% AMI AND BELOW.

YOU CAN SEE HERE IN THIS COLOR CHART ON THE -- ON THE LOWER LEFT YOU HAVE THE -- I DON'T KNOW WHAT COLOR THAT IS, SALMON, I GUESS, I'M ASHAMED TO EVEN KNOW WHAT THAT IS, BUT YOU CAN SEE THAT WE HAVE OVER 30,000 UNITS SHORT UNDER 30% AMI.

UNDER 3,000 UNITS UNDER 60% AMI.

WHEN WE GET BETWEEN 60 AND 80% AMI THAT DARK BLUE AREA IS SUPPLY, AND THAT INDICATES THAT WE HAVE A SUPPLY OF RENTAL UNITS BETWEEN 60 AND 80% AMI THAT ARE AVAILABLE IN THE COMMUNITY ALREADY.

SO THAT IS WHY WE HAVE CONCENTRATED OUR NUMBERS BELOW 60% AMI.

CREATE HOUSING OPPORTUNITIES FOR THE MOST VULNERABLE RESIDENTS, INCLUDING BUT NOT LIMITED TO HOMELESS, SENIORS, YOUTH, AGING OUT OF FOSTER CARE, AND PEOPLE WITH DISABILITIES.

THAT WOULD INCREASE FUNDING FOR SERVICES AND RISK HOUSING.

THIS IS WHY WE FEEL LIKE THE CITY OF SAN ANTONIO SHOULD TAKE A LEADERSHIP ROLE IN COORDINATING HOUSING.

THERE ARE A LOT OF SERVICE PROVIDERS IN THIS AREA BUT IT'S HARD TO COORDINATE EVERYBODY, GET EVERYBODY GETTING LIKE RESULTS AND PUSHING IN THE SAME DIRECTION.

WE BELIEVE THE CITY CAN CREATE A LEADERSHIP ROLE HERE.

REMOVE BARRIERS TO HOUSING PRODUCTION.

YOU GUYS ARE GOING TO LOVE THIS NEXT RECOMMENDATION.

WE FEEL LIKE AFTER A CITIZENS PROCESS WE CREATE A ZONING BY RIGHT.

IF YOU'RE BUILDING MORE THAN 50% AFFORDABLE HOUSING IN YOUR PROJECT, YOU SHOULD HAVE THAT ZONING BY RIGHT.

AND WHAT DOES THAT MEAN? THAT MEANS IF YOU MEET CERTAIN CRITERIA [INAUDIBLE] CORRIDOR, YOU'RE TO THE FORM OF THE NEIGHBORHOOD.

IF YOU -- WHATEVER ELSE THE CITIZENS COMMITTEE PUTS ON IT, ONCE WE HAVE DEVELOPED THAT ZONING BY RIGHT, IF SOMEONE IS GOING TO BUILD THAT AFFORDABLE HOUSING, THEY DON'T HAVE TO GO THROUGH A LENGTHY PROCESS.

THEY CAN GET THEIR INCENTIVE AND THEY CAN GO BUILD THEIR PROJECT.

I'M SURE YOU GUYS ARE VERY EXCITED ABOUT THAT.

[LAUGHTER] EXEMPT AFFORDABLE HOUSING FROM SAWS IMPACT FEES.

WE THINK THAT'S A TWO PRONGED RECOMMENDATION THERE.

IF YOU'RE -- IF YOU'RE IN THE AFFORDABLE HOUSING ARENA OR REALLY ANY INCENTIVE ARENA, THERE'S A NI LIMITED NUMBER OF SAWS IMPACT FEES.

YOU GOT TO GET ON THE COMPUTER AT 12:00 AT NIGHT

[00:40:02]

AND HOPEFULLY YOU'RE THE LUCKY ONE THAT WINS THAT LOTTERY.

RENEED TO MAKE THOSE SAWS FEES WAIVERS MORE AVAILABLE.

AND FINALLY, REVISE UDC TO REMOVE BARRIERS TO AFFORDABLE HOUSING.

THE HOUSING COMMISSION HAS DONE A LOT OF WORK ON THIS.

IN OUR FINAL REPORT WE WILL ADOPT THOSE, MAKE SOME TWEAKS TO THOSE RECOMMENDATIONS AND BRING THOSE FORWARD TO THE CITY COUNCIL.

PROTECT AND PROMOTE OUR NEIGHBORHOODS.

THIS IS WHERE YOU PROBABLY HEAR FROM YOUR CONSTITUENTS THE MOST.

RISING PROPERTY TAXES ON AFFORDABILITY.

WE'LL TALK A LITTLE BIT LATER IN THE PRESENTATION ON THE CITY'S ROLE IN THAT, BUT IMMEDIATELY IMPLEMENT AFFORDABLE HOUSING, TAX AND APPRAISAL PROTECTION SUCH AS TAX EXEMPTIONS, PRESERVATION DISTRICTS, AND TIFFS.

AND A FEW SLIDES IN THE FUTURE WE'LL TALK ABOUT THAT.

PREVENT AND MITIGATE DISPLACEMENT.

THANK YOU, SARAH, I WAS HOPING A TASK FORCE MEMBER WOULD SEE MY -- [LAUGHTER]

>> [INAUDIBLE].

>> DISPLACEMENT.

THERE'S TWO KINDS OF DISPLACEMENT.

THERE'S DIRECT DISPLACEMENT AND INDIRECT DISPLACEMENT.

DIRECT DISPLACEMENT IS WHEN SOMEONE COMES AND TEARS DOWN WHERE YOU LIVE, THE APARTMENT COMPLEX, OR THEY MOVE YOU OUT TO REMODEL AND IT GETS TOO EXPENSIVE, OR THEY TRY TO REDEVELOP YOUR PROPERTY AND LIKE MISSION TRAILS.

THAT'S DIRECT DISPLACEMENT.

ON DIRECT DISPLACEMENT, A LOT OF THOSE HAVE OCCURRED BECAUSE OF LARGE PUBLIC PROJECTS, WITH THE INTENT OF INCREASING ECONOMIC DEVELOPMENT, COMKING THE TAX -- INCREASING THE TAX BASE AND WHEN IT HAPPENS WE'RE ALL LOOKING AROUND GOING WHAT ARE WE GOING TO DO ABOUT IT.

WE'RE RECOMMENDING ON ANY LARGE PROJECT WE PUT $15 MILLION IN HERE FOR DISCUSSION, THAT THAT HAS TO DO WITH SOCIOECONOMIC STUDY, DETERMINE THE POTENTIAL FOR DISPLACEMENT AND THEN CREATE FUNDING THROUGH THE PROJECT.

FOR INSTANCE, THE SAN PEDRO CREEK PROJECT, $120 MILLION PROJECT, IF THEY PUT 1% OF THAT BUDGET TOWARDS DISPLACEMENT THEY'D HAVE $1.2 MILLION AND THE CITY WOULDN'T HAVE TO RUN AROUND AND FIND MONEY TO ADDRESS THE PROBLEM.

BUT WE DO ALSO BELIEVE THAT THE CITY DOES NEED TO HAVE A FUND, A WORKING FUND, TO HELP MITIGATE DISPLACEMENT UP TO 80% AMI JUST FOR THAT EVERYDAY UNUSUAL SITUATION THAT MAY OCCUR WHERE PEOPLE ARE IN NEED THAT NEED TO HAVE RAPID REHOUSING, RAPID NAVIGATION TO NEW HOUSING, AND WE BELIEVE THE CITY SHOULD HAVE A FEE, AND OF COURSE THE RESOURCES THAT WE'VE TALKED ABOUT TO DO THAT IN THE PAST.

WE NEED TO FUND PROACTIVE OUTREACH COUNSELING, LOW AND MODERATE INCOME HOUSEHOLDS EXPERIENCING HOUSING VULNERABILITY.

WE HAVE HEARD SO MANY NEIGHBORHOOD STORIES ABOUT, YOU KNOW, JUST -- THERE IS NO NEIGHBORHOOD EXACTLY ALIKE, NO STREET EXACTLY ALIKE, BUT THERE ARE A LOT OF RESOURCES OUT THERE IF THE INDIVIDUALS KNEW WHAT THEY WERE, THEY WOULDN'T FEEL THE PRESSURE THAT THEY HAVE TO SELL.

YOU KNOW, THEY GET AN OFFER AND THEY PANIC AND THERE'S NO ONE AT THE CITY, NO ONE IN GOVERNMENT, NOWHERE, ANYWHERE THAT IS COUNSELING THEM.

THESE ARE THESE OPTIONS, THIS IS THE FINANCING YOU CAN GET AND WE BELIEVE THE CITY CAN PLAY A ROLE IN THAT.

AND THEN FINALLY REDUCE HOUSING DISCRIMINATION, AND WE WANT TO DO THIS THROUGH EDUCATION.

WE WANT EVERYBODY IN SAN ANTONIO TO UNDERSTAND THE IMPORTANCE OF HOUSING AND HELP GET PEOPLE IN HOUSING.

YOU'LL BE SHOCKED TO KNOW, THERE ARE 40,000 SINGLE-FAMILY STRUCTURES IN SAN ANTONIO TODAY THAT ARE VACANT, SITTING VACANT, AND AGAIN, WITH AN ORGANIZED AND COORDINATED SYSTEM WE CAN FIND OUT WHO OWNS THOSE HOUSES, REHAB THEM AND GET PEOPLE IN THEM.

PROPERTY TAX RELIEF.

THAT WAS UNDER ONE OF OUR RECOMMENDATIONS THERE, AND PROTECTING NEIGHBORHOODS.

OWNER HOUSEHOLD COST BURDEN.

THESE ARE -- THESE ARE OWNED HOUSES.

THESE ARE PEOPLE THAT ARE COST BURDENED BECAUSE OF TAXES.

YOU CAN SEE IT GOES ALL THE WAY OVER TO 120.

THIS IS OUR WORKFORCE.

THESE ARE THE PEOPLE WE DEAL WITH EVERY DAY.

HERE'S THE IMPACT OF TAXES.

SO LET'S SAY I BUY A HOUSE FIVE YEARS AGO FOR $150,000, AND I GET A MORTGAGE AND I HAVE MY ELECTRIC AND EVERYTHING, MY INSURANCE, AND I'M RIGHT AT 30% AMI.

WELL, AVERAGE APPRAISALS AND RESULTING TAX HAVE GONE UP OVER THE LAST FIVE YEARS 36%.

SO MY TAXES HAVE GONE UP $1,350, THAT'S SCHOOL AND EVERYBODY, IT'S NOT JUST CITY TAXES, BUT WHAT THAT MEANS IS THAT INDIVIDUAL WHO WAS AT 30% OF THEIR GROSS INCOME IS NOW AT 33%.

THEY'VE BECOME COST BURDENED, AND THIS IS WHY WE'RE TALKING ABOUT TRYING TO FIND A WAY TO PROTECT OUR NEIGHBORHOODS, BECAUSE YOU COULD HAVE DONE YOUR BEST UNDER THE EXACT RULES AND NOW BECAUSE OF TAXES YOU ARE COST BURDENED.

WE HAVE VULNERABLE NEIGHBORHOODS.

THIS IS OUT OF THE [INAUDIBLE] REPORT THAT WAS ISSUED

[00:45:01]

NEIGHBORHOOD PRESERVATION DISTRICTS, THE QUESTION ALWAYS COME UP, WHERE WOULD YOU DO THAT AND WHAT IS A PRESERVATION DISTRICT? A NEIGHBORHOOD PRESERVATION DISTRICT, BY THE WAY, IS ALLOWED BY STATE LAW BUT FOR SOME REASON SAN ANTONIO IS CARVED OUT OF IT.

IT ALLOWS YOU TO DO A DISTRICT FOR RESIDENTIAL.

IT'S NOT LIKE A TYPICAL TIF WHERE YOU'VE GOT TO HAVE A LOT OF COMMERCIAL.

YOU CAN TAKE THE INCREASED APPRAISED VALUES AND THE INCREASED TAXES WITHIN A NEIGHBORHOOD, CARVE THOSE INCREASED TAXES OFF AND PUT THEM BACK INTO REHAB, PRESERVATION AND WHAT YOU NEED TO WITHIN THE BOUNDARIES OF THAT.

THIS VULNERABLE NEIGHBORHOODS CHART HERE SHOWS YOU THAT IN WITTY HILLS, IN ONE BLOCK IN A FIVE-YEAR PERIOD THE VALUE OF THE HOUSES WENT UP 130%.

WELL, IF YOU -- YOU KNOW, IF YOU'RE AN INVESTOR YOU MAY THINK THAT'S PRETTY GOOD, BUT LOOK AT THE RIGHT-HAND COLUMN, THE AVERAGE MEDIAN INCOME OF THAT NEIGHBORHOOD IS AFFORD THE THAT'S PROBABLY WHY YOU'RE ENSURE ACCOUNTABILITY.

YOU CAN SEE THAT WE'RE TRYING TO PUT A LOT OF MEAT ON THE BONE HERE FOR AFFORDABLE HOUSING, AND THAT'S GOING TO COME WITH A LOT OF ACCOUNTABILITY, ESPECIALLY WHEN YOU SEE OUR FUNDING REQUEST.

WE NEED TO REDEFINE THE HOUSING COMMISSION, GIVE THEM SOME METRICS, GIVE THEM SOMETHING TO MANAGE, CREATE MORE THAN JUST A STUDY ORGANIZATION, AND WE BELIEVE THAT THE HOUSING COMMISSION DOES HAVE A ROLE IN THE FUTURE.

AND THEN FINALLY ANNUAL REPORTING TO THE COUNCIL ON HOW WE'RE DOING.

I'M ON TRACK.

DON'T -- DON'T GIVE UP ON ME YET.

SO INCREASED CITY INVESTMENT IN HOUSING.

WE WANT TO DEVELOP A TEN-YEAR FINANCING PLAN FOR AFFORDABLE HOUSING, INCREASE IT'S REALLY FUNDING, I GUESS AS A TASK FORCE WE REALLY DON'T CARE WHERE IT COMES FROM.

CREATE A DEDICATED REVENUE SOURCE, ESTABLISH FINANCIAL LEVERAGE.

I WANT TO EMPHASIZE HERE THE TASK FORCE DOES NOT BELIEVE THE CITY OF SAN ANTONIO CAN DO THIS ON ITS OWN.

CITY SHOULD NOT SPEND $1 IN AFFORDABLE HOUSING THAT ISN'T LEVERAGED, LEVERAGED, LEVERAGED.

I THINK THAT WE KNOW THAT IF WE CAN SPEND A DOLLAR, AFFORDABLE HOUSING, YOU CAN'T GET A 10 TO 1 LEVERAGE LIKE MAYBE WE DO IN CCHIP BUT AFFORDABLE HOUSING WE CAN GET 3 TO 1 OR 5 TO 1, AND THAT'S A GOAL TO BRING THE LEVERAGE TO PROCESS.

CONDUCT A COMPREHENSIVE ASSESSMENT OF HOUSING TRUST.

THE HOUSING TRUST IS THE KEY TO HOUSING IN THE FUTURE.

WE -- IN 1988 THE CITY CREATED THE HOUSING TRUST.

A LOT OF CITIES DON'T HAVE HOUSING TRUSTS.

WE CREATED A CORPUS OF $10 MILLION IN 1988, FOR THE HOUSING TRUST.

IF WE HAD FUNDED THE HOUSING TRUST BY $10 MILLION A YEAR SINCE 1988 IT WOULD BE WORTH $560 MILLION TODAY AND THAT'S JUST AT A 3.5% RETURN ON THAT CORPUS, WHICH I THINK WE COULD HAVE DONE.

560 MILLION IF WE HAD JUST CREATED A DEDICATED FUND INTO THE HOUSING TRUST.

WELL, WE -- WE CAN'T SOLVE WHAT WE DIDN'T DO BEHIND US BUT WE CAN LOOK FORWARD AND CREATE A DEDICATED FUND FOR THE HOUSING TRUST.

AND THEN OF COURSE WE'RE LOOKING TO REVISE THE CITY CHARTER TO ALLOW BOND REVENUE TO BE USED FOR AFFORDABLE HOUSING.

SO PICKING A FUNDING STRATEGY, WE HAD FIVE -- THERE'S AN INFINITE ENOUGH BUT WE LOOKED AT FIVE METHODS.

ONE IS WE COULD REPLACE OUR LAW CDBG HOME AWARDS.

WE'VE LOST 65% OF OUR FUNDING SINCE 1995 AND WE EXPECT TO CONTINUE TO LOSE THAT FUNDING AT THE FEDERAL LEVEL.

METHOD 2, WE COULD ADDRESS THE SUPPLY/DEMAND MISMATCH.

METHOD 3, WE COULD ELIMINATE OVERSPENDING.

WHAT DOES THAT MEAN? REMEMBER I TOLD YOU ABOUT THE 165,000 INDIVIDUALS THAT ARE COST BURDENED, SPENDING MORE ON THEIR HOUSING.

THAT IS A HUGE NUMBER.

METHOD 4, THE LOSS OF INVENTORY BY AMI JUST BECAUSE OF THE APPRAISALS.

OR DON'T LET THE CONDITION GET WORSE, WHICH OUR FUNDING AND FINANCE COMMITTEE KIND OF PICKED THESE DATA POINTS.

BUT THE IMPORTANT THING, IT DOESN'T MATTER WHICH METHOD YOU PICK, THEY'RE ALL BILLIONS OF DOLLARS OF PROBLEMS AND THAT'S THE POINT WE'RE TRYING TO MAKE IN THE PRESENTATION.

I MEAN, IF WE TRY TO PROJECT OUT THE FEDERAL FUNDING WE'RE GOING TO LOSE THAT'S GOING TO BE 200 OR $400 MILLION OF FUNDING NOW WE DON'T HAVE IN THE FUTURE.

IF WE WANT TO CATCH UP IT'S $1.63 BILLION.

THE $667 MILLION IS THE NUMBER WE, RESIDENTS OF SAN ANTONIO, SPEND EVERY YEAR ON THEIR COST BURDEN.

657 MILLION.

MOST OF THAT MONEY, BY THE WAY, GOES TO A MORTGAGE COMPANY AND BANK THAT'S COLLECTING INTEREST THAT'S BEEN SOLD OFF IN WALL STREET SOMEWHERE.

SO THAT MONEY IS COMING OUT OF OUR COMMUNITY.

IF WE COULD BRING THAT MONEY BACK AND CIRCULATE IT AMONG OURSELVES, IT WOULD INCREASE OUR ECONOMY.

POINT IS YOU CAN SEE THIS IS

[00:50:02]

A BILLION-DOLLAR PROBLEM, AND THEREFORE OUR RECOMMENDATIONS ARE REFLECTED IN THAT.

HERE IS ANOTHER ONE OF YOUR ECONOMIC DEVELOPMENT.

IF WE CAN HAVE A $1.2 BILLION PROBLEM IN THE CITY OVER A LONG PERIOD OF TIME CAN PUT 500 MILLION TOWARDS THAT AND LEVERAGE IT, THAT CREATESS, IT CREATES PEOPLE BUILDING HOUSES AND IT BRINGS THAT BACK INTO SOLVING THE $1.2 BILLION PROBLEM THAT WILL CONTINUE, BUT IT DOES INCREASE AND LIFT OUR ECONOMY AND MOVES US FORWARD.

HOUSING IS INFRASTRUCTURE.

I'M ALMOST DONE, GUYS.

SO JUST HANG IN THERE.

THIS IS VERY IMPORTANT.

WE'RE GOING TO TALK ABOUT ECONOMIC DEVELOPMENT.

HOUSING IS ONE OF OUR FOUR PILLARS OF ECONOMIC DEVELOPMENT.

WE SPEND MONEY ON WATER, MAKING SURE WE HAVE WATER.

WE SPEND MONEY ON ENERGY.

WE SPEND MONEY ON TRANSPORTATION.

BUT IN COMPARISON HOW MUCH MONEY DO WE SPEND ON HOUSING AS RELATED TO THESE OTHER FOUR, THE FOUR PILLARS, AFFORDABILITY, WATER, ENERGY, TRANSPORTATION.

CURRENT CITY HOUSING FUNDING, WE HAVE ABOUT 8.3 MILLION THAT'S GENERAL FUND SPENDING, THEN 4.4 MILLION IN OTHER HOUSING, 39 MILLION IN RESTRICTED FUNDS, THOSE WOULD BE FEDERAL TYPE DOLLARS, MAY BE OTHER TIFS, THOSE KINDS OF THINGS, AND THEN 47 MILLION IN TAX EXEMPTIONS FOR SENIORS.

SO WE ARE GOING TO DISCOUNT THE 47 MILLION FOR SENIORS AS WE TALK ABOUT AFFORDABLE HOUSING FOR SEVERAL REASONS.

THE MAIN REASON IS THAT IT HELPS US IN OUR PRESENTATION HERE TODAY, BUT THE OTHER REASON IS IT'S ONLY 10% -- ONLY 10% OF OUR POPULATION IS OVER 65 YEARS OLD, AND SO WHEN WE LOOK AT THAT, WE DON'T DISCOUNT TAX EXEMPTIONS, BECAUSE YOU REMEMBER UNDER PROTECTING NEIGHBORHOODS, THAT'S ONE OF OUR RECOMMENDATIONS.

AND IT MAY BE FOR MORE THAN JUST SENIORS, AND THAT'S PART OF WHAT WE'RE ASKING FOR BUDGET FOR.

BUT IF YOU LOOK AT JUST GENERAL FUND SPENDING ON HOUSING, WE'RE GOING TO ADD THOSE TWO COLUMNS ON THE LEFT THERE AND GET YOU TO $12 MILLION.

AND SO WE'LL MAKE A LITTLE COMPARISON HERE.

IF YOU BELIEVE IN THE FOUR PILLARS OF ECONOMIC DEVELOPMENT, WITH WATER, ENERGY, TRANSPORTATION AND GENERAL FUND ON HOUSING, THESE ARE NOT ANNUAL BUDGETS.

THESE ARE CAPITAL SPENDING OVER THE NEXT FIVE YEARS.

IF YOU PULL THE BUDGETS OF SAWS, CPS ENERGY AND SAN ANTONIO, SAWS WILL SPEND 6.2 MILLION, CPS ENERGY, 3 BILLION.

CITY TRIGLYCERIDES, IF YOU DO $100 MILLION A YEAR TOWARDS STREET AND YOU PUT 450 MILLION OF THE BOND IN THERE YOU GET TO 950 MILLION, AND THEN IF YOU TAKE THE 12 MILLION GENERAL FUND SPENDING TODAY AND MULTIPLY IT BY FIVE YEARS IT'S 64 MILLION.

COMPARE -- I DON'T KNOW IF YOU CAN SEE THAT LINE.

IT'S RIGHT OVER THERE ON THE RIGHT, THE LITTLE BITTY LINE, THAT'S WHAT WE'RE SPENDING ON HOUSING.

SO WE DON'T BELIEVE WE HAVE A RESOURCE PROBLEM.

WE BELIEVE WE HAVE A PRIORITY PROBLEM.

WHY DO WE SAY THAT? OVER A FIVE-YEAR PERIOD, OUR AD VALOREM REVENUE HAS GONE UP BY $100 MILLION.

CPS ENERGY BY $60 MILLION, SALES TAX AGAIN BY $60 MILLION, AND THE REASON WE'RE SHOWING THESE SLIDES IS WE REALIZE THE CITY IS A PART OF A PROCESS YOU CAN'T CONTROL THE OVERALL APPRAISAL SYSTEM.

YOU BENEFIT FROM THAT, BUT THE QUESTION IS, IS WHAT DO YOU DO WITH THE DOLLARS THAT YOU GET WHEN APPRAISALS GO UP 36%? AND HOW ARE YOU GOING TO SPEND THAT MONEY? IF YOU WENT BACK TO TWELVE AND THE COUNCIL SAID WE'RE GOING TO PUT 10% OF ALL INCREASED AD VALOREM VALUE THAT COMES INTO OUR BOOKS TO AFFORDABLE HOUSING, THIS YEAR YOU WOULD HAVE AN ADDITIONAL $120 MILLION TO SPEND ON AFFORDABLE HOUSING.

SO THAT IS THE ONLY THING WE'RE TRYING TO SAY.

WE DON'T HAVE A RESOURCE PROBLEM, WE HAVE A PRIORITY PROBLEM.

SO HERE IS OUR TEN-YEAR FUNDING PLAN.

WE PROJECT OUT IF YOU CONTINUE TO SPEND $12 MILLION A YEAR, AND WE USE THE TERM GENERAL FUND, AND WE BRING NEW FUNDING, AND WE'RE SHOWING IN 2019, $20 MILLION, THEN 30 MILLION, THEN 35, THEN 40.

CLEARLY WE HAVE TO BUILD CAPACITY.

WE HAVE TO BUILD CAPACITY, REAL CAPACITY, AND THEN WE HAVE TO BUILD PUBLIC CONFIDENCE CAPACITY.

IF WE'RE GOING TO SPEND THIS MONEY WE HAVE TO SHOW THAT WE CAN DO IT, SHOW THAT WE CAN DELIVER HOUSING, AND THEN ONCE WE'VE DONE THAT, WE BELIEVE WE CAN HAVE A BOND ELECTION, IF WE CAN CHANGE THE CHARTER, HAVE 125 MILLION EVERY FIVE YEARS.

SO THOSE ARE HUGE NUMBERS ON THERE.

IF YOU START AT ZERO AND TALK ABOUT $485 MILLION OVER TEN YEARS, THAT'S A HUGE AMOUNT OF MONEY.

BUT LET'S MAKE SOME COMPARISONS.

FIRST OF ALL I WANT TO EMPHASIZE AGAIN, WE'RE TALKING ABOUT LEVERAGING, LEVERAGING, LEVERAGING THAT MONEY, AND SO IF WE CAN SPEND THAT KIND OF MONEY ON

[00:55:02]

HOUSING, WE CAN GET 2.2 TO $3.7 BILLION TOWARDS AFFORDABLE HOUSING.

OVER THAT SAME PERIOD OF TIME THAT WE'D BE ASKING FOR THE $485 MILLION OF GENERAL FUND MONEY, THE CITY BUDGET, REVENUE BUDGET, WILL BE $12 BILLION.

SO WE'RE ONLY ASKING FOR 4% OF THE GENERAL FUND PUT TOWARDS HOUSING.

AND WE BELIEVE WE CAN DO IT.

AND I DO ALSO WANT TO POINT OUT THAT THE PRIVATE SECTOR EVERY YEAR CREATES $3 BILLION IN HOUSING.

THAT'S SINGLE-FAMILY, MULTI-FAMILY, THE PRIVATE SECTOR IS DOING 3 BILLION A YEAR.

SO OVER THREE -- OVER TEN YEARS THAT $3 BILLION WILL BE $30 BILLION OVER THIS SAME PERIOD OF TIME, AND IF WE CAN CREATE 3.7 BILLION IN AFFORDABLE HOUSING, WE WOULD HAVE ACCOMPLISHED CREATING 10% OF THE TOTAL MARKET IN AFFORDABLE HOUSING.

SO THEY'RE HUGE NUMBERS.

THEY'RE MEANT TO GET YOUR ATTENTION, BUT WE THINK WE CAN DO IT.

FINALLY, IF WE DO GET BONDS, THESE OTHER CITIES HAVE DONE BIG BONDS, L.A. IS DOING A $1.2 BILLION BOND JUST TO WE WOULD SPEND THAT MONEY IN OUR LOWER AMIS IF WE DID A BOND, IF WE CAN GET THE CITY CHARTER AMENDMENT.

WE WOULD ALSO DO THE DOWN PAYMENT ASSISTANCE WITH THIS MONEY.

IMPORTANT, THOUGH -- SLOW DOWN, TALKING VERY FAST -- IT HAS TO BE RESULT ORIENTED.

WE HAVE TO TRACK THE MONEY.

WE HAVE TO TRACK WHO'S DOING WHAT, WHAT IS THE EFFECTIVENESS OF OUR PARTNERS, WHERE ARE WE BUILDING GEOGRAPHICALLY AND BY AMI? AND AGAIN, ONCE WE PUT THIS KIND OF SYSTEM IN PLACE, RUN BY OUR NEW CAPACITY AT THE CITY, IT GIVES THE HOUSING COMMISSION METRICS THAT THEY CAN TRACK.

SO YOU SAW EARLIER $20 MILLION.

YOU KNOW, CAN WE REALLY DEPLOY $20 MILLION? WE'RE JUST TRYING TO SHOW YOU THAT FIRST OF ALL THOSE 18 POSITIONS, $2 MILLION TO INCREASE CITY STAFF, $2 MILLION TO INCREASE UNDER ONE ROOF PROGRAM.

WE'RE TRYING TO SELECT PROGRAMS THAT ARE ALREADY SUCCESSFUL, THAT WE ALREADY KNOW HOW TO RUN.

WE DON'T HAVE TO INVENT A NEW PROGRAM.

INCREASE 2 MILLION IN THE MINOR HOME REPAIR.

$1 MILLION RIGHT NOW IN ESTABLISH A RISK MITIGATION FUND FOR DISPLACEMENT.

WE HAVE TO HAVE A POOL OF MONEY SO EVERY TIME WE'RE FACED WITH DISPLACEMENT THE CITY ISN'T RUNNING AROUND TRYING TO FIND BUCKETS OF MONEY.

$5 MILLION FOR A HOME DOWN PAYMENT ASSISTANCE.

WE'VE GOT TO START GETTING PEOPLE INTO HOUSING AND $8 MILLION FOR NEIGHBORHOOD IMPROVEMENT AND GAP FINANCING.

WE HAVE THE $20 MILLION BOND ELECTION.

ALL WE CAN DO IS BUILD HORIZONTAL THINGS LIKE THAT.

LET'S COMBINE SOME MONEY AND GET SOME VERTICAL CONSTRUCTION GOING WITH THAT AGAIN, I WANT TO EMPHASIZE THAT THIS IS AN INTERIM REPORT.

YOU WILL BE GETTING A MUCH MORE EXTENSIVE REPORT WITH EXAMPLES, AND TIMELINES AND THE OTHER 300 RECOMMENDATIONS THAT WE GOT AND HOW THEY ALL TIE IN.

WE'LL BE DOING THAT DURING JULY, AND WE WILL GIVE THAT FINAL REPORT TO YOU IN AUGUST.

I AM GOING TO PUT THIS UP AND LEAVE IT ON THE SCREEN.

THESE ARE OUR ACTION ITEMS, BUT I DID WANT TO LEAVE YOU WITH FIVE REMAINING THOUGHTS.

HOUSING IS ABOUT PEOPLE, IS ABOUT YOUR NEIGHBORS, IT'S ABOUT EVERYBODY IN SAN ANTONIO.

NUMBER TWO, IT'S ABOUT ECONOMIC DEVELOPMENT.

HOUSING IS ABOUT AFFORDABILITY AND IT'S THE FOURTH LEG OF OUR ECONOMIC STOOL, AND IF ONE LEG OF THE STOOL CITY, AND NUMBER FOUR, YOU HAVE TO PROVIDE THE FUNDING TO MAKE IT HAPPEN.

AND NUMBER FIVE AND FINALLY, IT STARTS RIGHT HERE WITH THIS COUNCIL AND STARTS TODAY.

SO AS A TASK FORCE WE APPRECIATE THE OPPORTUNITY TO MAKE THIS PRESENTATION.

THANK YOU.

[APPLAUSE]

>> MAYOR NIRENBERG: OKAY.

THANK YOU, GENE, THANK YOU LOURDES AND TASK FORCE FOR YOUR COMMENTS, AND FOR YOUR PRESENTATION.

FIRST LET ME JUST STATE FOR -- IF ANYONE DIDN'T RECOGNIZE, THIS IS THE INTERIM REPORT.

THIS IS NOT COUNCIL DIRECTION.

WHAT THIS IS IS A SET OF RECOMMENDATIONS IN DRAFT FORM, FOR THE COUNCIL TO CONSIDER.

THAT BEING SAID, I THINK WE ANTICIPATED A SOBERING ANALYSIS OF OUR HOUSING

[01:00:01]

SITUATION, AND I THINK WE GOT IT.

THE FIRST HALF AN HOUR OR SO TOLD US WHAT WE KNEW INTRINSICALLY, WHICH IS THAT WE'RE NOT TRENDING VERY WELL.

PEOPLE ARE INCREASINGLY COST BURDENED IN OUR COMMUNITY.

HOUSING IS -- COSTS ARE RISING AS ARE PROPERTY TAXES AND WE'RE FINDING AN INCREASING NUMBER OF OUR NEIGHBORS BEING FORCED OUT OF THEIR HOMES OR IN SOME CASES NOT BEING ABLE TO FIND AFFORDABLE HOMES BECAUSE OF THAT ENTIRE SITUATION.

AND SO WE KNOW THE TOOLS WHICH WE CAN INTERVENE ARE -- NOT GOING TO BE EASY, AND PERHAPS THAT'S WHERE IT ENDS FOR A LOT OF CITIES AND PERHAPS EVEN SAN ANTONIO IN THE YEARS THAT WE'VE TRIED THIS BEFORE.

SO I WOULD SAY THANK YOU FIRST TO THE TASK FORCE FOR HELPING US GET TO THE STARTING BLOCKS.

WE'RE ALMOST THERE.

IF WE DON'T RECOGNIZE THE GRAVITY OF THE SITUATION OR IF WE RECOGNIZE THE GRAVITY OF THE SITUATION AND REFUSE TO ACT ON PRIORITIES AND MAKING HOUSING A PRIORITY WITH THE TOOLS THAT WE DO HAVE AVAILABLE, THEN SHAME ON US FOR NOT MAKING THE RIGHT DECISIONS.

WE ASSEMBLED A GROUP OF PEOPLE FROM DIVERSE BACKGROUNDS, EXPERIENCE, EXPERTISE, WHO THEN ASSEMBLED A HUNDRED-PLUS OF OUR NEIGHBORS, WHO ARE ALSO EXPERTS IN TECHNICAL GROUPS THAT TACKLED THESE ISSUES WITH OBJECTIVITY AND WITH SOBERING ANALYSIS, AND SO IT CAN'T BE SAID THAT THE REPORT THAT WE JUST HEARD IN DRAFT FORM IS NOT OBJECTIVE AND UNBIASED INFORMATION, WHICH IS THE BEST KIND OF INFORMATION ON WHICH TO ACT.

SO I REALLY ONLY HAVE ONE QUESTION.

YOU KNOW, I WILL HAVE A RHETORICAL QUESTION, WHICH IS IN 20 YEARS WHAT DID WE DECIDE TO DO AND DID WE IMPACT OUR FUTURE POSITIVELY.

BUT THE QUESTION I HAVE, AND PERHAPS IT'S BEST FOR MARIA, BECAUSE MY -- MY ARRIVAL TO THIS PARTICULAR TASK FORCE AND THIS REPORT WAS IN MANY CONVERSATIONS WITH MARIA TALKING ABOUT THE THINGS THAT PERHAPS WE DID RIGHT, AND MANY OF THE THINGS THAT WE DID NOT DO RIGHT AS A CITY OVER THE LAST 30 OR 40 YEARS.

SO MARIA, I ONLY HAVE ONE QUESTION FOR YOU, WHICH IS THIS IS -- YOU KNOW, THIS IS A PRETTY EYE-OPENING REPORT, AND THERE ARE MANY PEOPLE WHO WILL RIGHTLY SAY THE CITY IS NOT RESPONSIBLE FOR THIS.

HOUSING, AS A SYSTEM, IS NOT THE CITY'S RESPONSIBILITY.

IT'S NOT REALLY THE CITY'S TOTAL JURISDICTION.

THERE ARE TOO MANY HANDS IN THE POT FOR US TO REALLY SAY IT'S FOR US TO SOLVE.

IT'S A FREE MARKET ISSUE.

WHY IS THAT NOT TRUE? AND WHY SHOULD WE ACT?

>> IF WE THOUGHT THAT WAY I'D HATE TO SEE WHAT MY CITY WOULD BE LIKE TODAY.

ONE OF THE THINGS THAT WE HAVE READ SO MANY REPORTS, WE HAVE SEEN SO MANY PICTURES FROM OTHER CITIES.

RIGHT NOW LOS ANGELES HAS PEOPLE LIVING IN TENT CITIES, IN FRONT OF THE MOST BEAUTIFUL HOUSES, AND THEY LIVE IN TENT CITIES.

THEY'RE HOMELESS.

THEY JUST ALLOCATED $1.2 BILLION TO TAKE CARE OF THEIR HOMELESS SITUATION.

THE PRIVATE SECTOR CAN'T DO EVERYTHING.

AND ONE OF THE THINGS THAT I OBSERVE, AND IT HAS BEEN MADE SO REAL RECENTLY, I WAS SHARING WITH SEVERAL PEOPLE AND THE CITY MANAGER WAS THERE, THAT I WATCHED THE COUNCIL MEETINGS, AND I WATCH HOW YOU DEAL WITH YOUR BUDGET.

YOU RESPOND TO THE NEED OF THE PUBLIC.

THE PUBLIC TELLS YOU WHAT YOU NEED, YOUR CONSTITUENTS TELL YOU WHAT YOU NEED, AND WHEN YOU ASK THEM THEY TELL YOU WHAT THEY SEE.

THEY'RE STANDING AT THEIR HOUSE AND THEY'RE LOOKING AT THEIR SIDEWALK, THEY'RE LOOKING AT THEIR WATER BILL, THEY'RE LOOKING AT THEIR DRAINAGE.

THEY WANT TO HAVE THEIR CHILDREN BE SAFE.

IF THERE'S A FIRE THEY WANT IT PUT OUT.

SO THEY TELL YOU, WE NEED SIDEWALKS AND WE NEED DRAINAGE, AND WE NEED TO BE -- TO FEEL SAFE.

BUT THEY NEVER TELL YOU, OR RARELY, I THINK, I NEED -- I NEED HELP WITH MY RENT.

MY HOUSE IS FALLING APART.

THIS HOUSE THAT I'M STANDING IN, TELLING YOU WHAT I NEED, IS FALLING APART, AND YET I DON'T THINK PEOPLE SEE THE GENERAL -- THE GENERAL PUBLIC DOESN'T SEE THAT IT'S -- THAT IT'S GOVERNMENT'S BUSINESS, MAYBE, BUT THEN THEY'RE STANDING AT A HOUSE THAT NEEDS SO MUCH HELP, OR IN AN APARTMENT WHERE THEY WOULD LIKE TO HAVE A HOUSE AND THEY CAN'T AFFORD IT.

SO TO ME IT'S A PRIORITY, IN A PARTICULARLY IN THIS PERIOD THAT WE'RE LIVING IN OUR

[01:05:01]

COUNTRY, WHERE WE'RE SEEING SO MANY PEOPLE SUFFER FROM SO MANY DIFFERENT THINGS, IT'S A PAINFUL EXISTENCE FOR A LOT OF PEOPLE.

YOU KNOW, I SEE FATHER MIKE, I CAN'T SEE HIM BUT HE'S SITTING RIGHT THERE, AND I WAS RECENTLY AT ONE OF HIS CELEBRATIONS AND I SAW THE PEOPLE THERE, IT'S A STRONG COMMUNITY, A BEAUTIFUL COMMUNITY OF ST. TIMOTHY.

I LIVE IN BEACON HILL.

IT'S A BEAUTIFUL COMMUNITY TOO.

AND WE WORK HARD TO KEEP OUR HOMES AND WE NEED HELP, WE NEED LEVERAGE, WE NEED THE HELP OF OUR GOVERNMENT, THE INSPIRATION OF OUR GOVERNMENT.

AND IF WE WOULD MAYBE DO A BETTER JOB OF EXPLAINING TO PEOPLE ABOUT HOUSING, YOU KNOW, HOW TO KEEP THEIR HOUSING, HOW TO IMPROVE THEIR HOUSING, WE WOULD HAVE SUCH A WONDERFUL CITY.

AND THE OTHER PART OF THE ANSWER HAS BEEN EXPLAINED BY MY COLLEAGUE ON THE TASK FORCE, JEAN DAWSON, IT'S AN ECONOMIC SITUATION.

I APPROACH IT FROM THE OTHER PLACE, IT'S A HEART SITUATION.

I HEAR TALKING ABOUT THE LEGACY NEIGHBORHOOD, I LOVE THE WAY YOU TALK ABOUT IT, AND I AM REALLY LOOKING FOR THIS COUNCIL TO MAKE SOME HISTORIC DECISIONS.

YOU KNOW, WAITING 30 YEARS SINCE 1988 FOR SOMETHING TO HAPPEN IS TOO LONG.

I'M GETTING TOO OLD.

I CAN'T WAIT 30 MORE YEARS AND NEITHER CAN A LOT OF PEOPLE.

SO IT'S JUST THE RIGHT THING TO DO, AND IN THIS DAY AND TIME WE SHOULDN'T EVEN BE ASKING THE QUESTION.

SHAME ON US IF WE DO.

[APPLAUSE]

>> AND I WOULD FURTHER SAY EVERY LICENSE WE SEE, PERMIT ISSUED, EVERY CODE THAT IS GOVERNING OUR HOUSING HAS SOMETHING POSITIVE OR NEGATIVE TO IMPACT OUR HOUSING SYSTEM.

SO IT IS SOMETHING THAT WE NEED COORDINATED AND WE NEED TO MAKE HOUSING A PRIORITY.

THANK YOU VERY MUCH TO THE TASK FORCE.

I'M GOING TO PASS IT OVER TO MY COLLEAGUES STARTING WITH COUNCILWOMAN GONZALES.

>> GONZALES: NOT SURPRISED BY ALL THE INFORMATION THAT YOU SHOWED HERE, BUT -- BUT THANK YOU FOR THE PRESENTATION.

IT'S MUCH MORE THOROUGH THAN THE BRIEFING THAT WE HAD AND THE COMPREHENSIVE PLANNING COMMITTEE.

BUT I HAVE SOME QUESTIONS ABOUT SOME OF THE DATA YOU PRESENTED HERE.

ONE OF THE THINGS YOU SAID, I THINK GENE SAID IT IN YOUR PRESENTATION, ABOUT 40% VACANCIES.

COULD YOU ELABORATE ON THAT? WHEN YOU TALKED ABOUT VACANT --R WHAT DID YOU MEAN?

>> YEAH, OF THE MANY REPORTS THE CITY HAS SPONSORED THROUGH TASK FORCES, COMMISSIONS OR STUDIES THROUGH THE PLANNING DEPARTMENT, IN 2013 THE SPRINGFIELD DID A NEEDS ASSESSMENT OF THE ENTIRE HOUSING STRUCTURE IN SAN ANTONIO AND THAT REPORT REPORTED 40,000 VACANT HOMES.

>> GONZALES: 40,000 VACANT HOMES.

>> NOT PERCENT BUT VACANT HOMES.

>> GONZALES: AND WAS THERE -- CY DEEPER ON ABOUT WHERE THOSE HOMES WERE? WHERE THOSE VACANCIES ARE?

>> THAT REPORT IS VERY EXTENSIVE REPORT BY COUNCIL DISTRICT.

I DON'T REMEMBER IF THE VACANT HOMES WERE BY COUNCIL DISTRICT, BUT IN OUR COMMUNITY MEETINGS AND NEIGHBORHOOD MEETINGS AND WORKSHOPS, WE HEARD OVER AND OVER AGAIN, HEY, THERE'S A VACANT HOUSE ON MY STREET RIGHT ACROSS FROM THE ELEMENTARY SCHOOL.

HOW DO I GET SOMEBODY IN THAT HOUSE? SO WE KNOW IT'S REAL, WE HEARD ABOUT IT AT EVERY ONE OF OUR MEETINGS.

>> GONZALES: I DO RECALL SEEING THAT INFORMATION PRESENTED SOME TIME AGO AND IT WAS LIKE VACANCIES AND IT WAS BY COUNCIL DISTRICT.

AND I REMEMBER BEING VERY SURPRISED AT HOW LOW THE VACANCIES WERE IN MY DISTRICT.

IT WAS -- SEEMED TO BE, YOU KNOW, SOMETHING LIKE -- WELL, AT LEAST CONSISTENT WITH EVERYBODY ELSE.

AND THAT SURPRISED ME.

BECAUSE WHEN WE DID A WALK THROUGH WITH ST. TIMOTHY'S AND COPS METRO AND THEY REPORTED THERE WAS SOMETHING LIKE 30% VACANCIES AND IT WAS LIKE A WINDSHIELD KIND OF A SURVEY, IT WASN'T SCIENTIFICALLY DONE, BUT I THINK A GROUP OF THEM WENT AROUND THEIR NEIGHBORHOODS AND IN THEIR SQUARE MILE, THEIR REPRESENTATION, THEY FOUND OVER 30% VACANCIES IN THEIR NEIGHBORHOODS.

SO I GUESS IT WOULD BE INTERESTING TO SEE THAT DYNAMIC, AND IN FACT, YOU

[01:10:01]

KNOW, I KNOW THAT MY DISTRICT HAS LOST POPULATION OVER THE YEARS AND THAT'S HAPPENED FOR A VARIETY OF REASONS.

BUT PART OF IT, YOU KNOW, THE LARGE PART OF IT IS THAT WE DON'T HAVE SUFFICIENT HOUSING, LIKE ACTUAL STRUCTURES THAT PEOPLE CAN MOVE INTO.

AND SO I THINK HOPEFULLY SOME OF THAT CAN BE ADDRESSED AS WE'RE GOING THROUGH THIS -- SOME OF THE INFORMATION THAT YOU PRESENTED.

ANOTHER QUESTION THAT I HAD ABOUT THE INFORMATION THAT YOU PRESENTED, ESPECIALLY REGARDING THE VULNERABLE NEIGHBORHOODS, AND, YOU KNOW, THEN IT WAS KIND OF HERE ON SLIDE 46 WITH PROPERTY TAX RELIEF AND THEN VULNERABLE NEIGHBORHOODS AND THE INCREASES IN WHAT -- YOU KNOW PERCENT CHANGED FROM 2011 TO 2016.

AND ALSO, YOU KNOW, I KNOW THAT THIS IS ALSO A VERY COMPLICATED ISSUE, BUT WHEN I LOOK AT SOME OF THE APPRAISED VALUES IN MY NEIGHBORHOOD IN LONE STAR AND IN PARTICULAR HERE, AREN'T THOSE VALUES JUST VERY LOW? I MEAN WE'RE TALKING ABOUT 40,000, 44,000, THEN YOU HAVE AN INCREASE OF 76, WHICH IS 100% IN A VERY SHORT PERIOD OF TIME.

SO I GUESS, YOU KNOW, WHAT HAPPENED THE PREVIOUS -- I MEAN, HAVE THEY BEEN STAGNANT FOR -- OR FAIRLY CONSISTENT FOR THE LAST 50 YEARS AND THEN SUDDENLY WE SAW A BIG INCREASE? BECAUSE I THINK THAT I WOULD JUST LIKE TO SEE WHAT -- YOU KNOW, WE'VE HEARD IN THE COMMUNITY THAT EVERYBODY HAS BEEN COMPLAINING ABOUT HOW MUCH THEIR TAXES ARE GOING UP, THEIR PROPERTY TAXES.

BUT WHEN -- I MEAN, DID THEY GO FROM 20,000 TO 45,000 TO THEN 100 AND SOMETHING THOUSAND? BECAUSE THOSE ARE REALLY LOW NUMBERS FOR THE COST OF HOUSING.

>> SO YOU ARE REFERRING TO THE CHART THAT WAS INCLUDED IN THE REPORT THAT WAS PRODUCED BY THE NATIONAL ASSOCIATION OF LATINO COMMUNITIES AND BUILDERS.

SO THIS CHART SHOWS THE CHANGE OVER TIME --

>> [INAUDIBLE].

>> [INAUDIBLE].

>> BIG JUMP.

I RECOGNIZE WE'RE TALKING ABOUT A SNAPSHOT OF WHAT'S HAPPENED AND I KNOW THAT HEARING FROM MY CONSTITUENTS, THIS IS REALLY WHAT THEY ARE SEEING.

BUT I GUESS TWO QUESTIONS.

WHAT HAPPENED PRIOR TO 2011? AND THEN THE OTHER QUESTION IS ISN'T THAT FAIRLY CONSISTENT TO WHAT WE'RE SEEING CITYWIDE AND WHY EVERYBODY IS SO CONCERNED ABOUT PROPERTY TAX RELIEF? THEN I'LL ASK YOU ANOTHER QUESTION ABOUT PROPERTY TAX RELIEF.

>> SO THE FIRST QUESTION OF WHAT HAPPENED THE PREVIOUS FIVE YEARS AND DID WE HAVE 30 -- YOU KNOW, IT'S BASICALLY 5.2% A YEAR OVER THE LAST FIVE YEARS AND SO YOU GET TO 36% BECAUSE IT'S CUMULATIVE.

IF YOU THINK 5% A YEAR, THAT'S 25%, BUT IT'S CUMULATIVE YEAR AFTER YEAR.

THE INCREASE IN VALUE WAS GENERATED BY NEW CONSTRUCTION AND NEW -- NEW HOUSING, NEW COMMERCIAL, NEW MULTI-FAMILY.

THAT IN GENERAL IS WHAT WAS CREATING INCREASING THE CITY'S TAX BASE.

IF YOU DIG INTO IT TODAY, IT'S BY INCREASED APPRAISAL.

AND SO THERE IS A CURVE GOING UP OVER THE LAST, I GUESS REALLY SIX OR SEVEN YEARS.

AND REMEMBER, IN 2008 AND 2009 IN THE HEAVY RECESSION, EVERYBODY'S VALUE OF THEIR HOUSE WENT DOWN.

SO, YOU KNOW, THAT'S THE PHENOMENON THAT WE'RE SEEING HERE, AND YES, IT IS HAPPENING ALL ACROSS THE CITY, BUT LOOKING AT THE MOST VULNERABLE NEIGHBORHOODS, THE CITY CANNOT INCREASE SOMEONE'S TAXES BY 136%, THEY ARE CAPPED AT 10% A YEAR.

BUT IF YOU ARE INCREASED BY 130%, THE CITY -- I'M SORRY, YEAH, THE CITY WILL CATCH UP.

THEY CAN'T DO IT OVER A FIVE-YEAR PERIOD.

>> GONZALES: SO I GUESS THAT'S JUST WHEN WE'RE -- OF COURSE, YOU KNOW, AS I JUST -- I WANTED TO JUST KIND OF POINT OUT THAT PERHAPS THOSE NUMBERS WERE ALREADY REALLY LOW FOR HOME VALUES AND APPRAISED VALUES.

THAT ALSO, YOU KNOW, THERE'S A LARGE FACT OF HAVING VERY LOW A WHOLE PRIVATE SECTOR COMPONENT TO THAT AND I DON'T BELIEVE THIS WAS ADDRESSED IN OUR -- IN THIS AND I DON'T KNOW IF WE WANT TO GET TO THAT QUESTION BECAUSE, YOU KNOW, AS WE FOUND IN OUR HOUSING -- DID YOU WANT TO ADD SOMETHING?

>> I WAS JUST GOING TO

[01:15:01]

MENTION, COUNCILWOMAN, THIS PARTICULAR INFORMATION WAS PRODUCED AS A RESULT OF A REQUEST FROM THE HOUSING COMMISSION TO LOOK AT THE MOST VULNERABLE NEIGHBORHOODS THROUGHOUT OUR CITY THAT WERE EXPERIENCING SIGNIFICANT CHANGES.

AND THAT THOSE SIGNIFICANT CHANGES WERE RESULTING EITHER IN DISPLACEMENT OR GENTRIFICATION.

AND SO THAT THE -- I THINK WHAT YOU ARE ASKING FOR IS IT WOULD BE IMPORTANT TO TAKE A LOOK AT THIS PATTERN OVER A LONGER PERIOD OF TIME, AND THEN IT SOUNDS LIKE YOUR SECOND QUESTION IS THAT MAYBE THE APPRAISED VALUE OF THOSE PROPERTIES WAS ALREADY VERY LOW TO BEGIN WITH.

AND SO I UNDERSTAND --

>> GONZALES: I GUESS BECAUSE, YOU KNOW, I'M TRYING TO BE VERY SENSITIVE WHEN I SAY THESE QUESTIONS BECAUSE AT THE SAME TIME WE KNOW THERE WAS RED LINING ALL OVER THE CITY, THERE WAS A DESIRE TO NOT ALLOW PEOPLE TO INVEST IN THEIR PROPERTIES AND ONE OF THE WAYS YOU DO THAT IS KEEPING PROPERTY VALUES REALLY LOW SO PEEK CANNOT GET A LOAN, CANNOT GET A HOCKEY HOME -- A HOME EQUITY LOAN, A HOME IMPROVEMENT LOAN.

IF YOUR HOME IS ALREADY VALUED LOW YOU CAN'T EXPAND ON THAT.

THAT'S ONE OF THE ISSUES WE FOUND IN OUR PILOT -- OUR HOUSING PILOT WAS THAT THERE WAS NOT ENOUGH TOOLS AVAILABLE FOR PEOPLE THAT WANTED TO REHAB THEIR HOME OR REINVEST THEIR HOME ESPECIALLY WHEN VALUES ARE ALREADY SO LOW.

I DON'T KNOW HOW TO RECTIFY THAT WITHOUT CREATING AN INCREDIBLE TAX BURDEN BECAUSE THEY STILL NEED TO BE ABLE TO INVEST IN THEIR HOMES.

>> RIGHT.

I THINK IT'S EXACTLY WHAT YOU SAID AND WHAT WE KNOW IS HAPPENING IN YOUR DISTRICT, RIGHT? THERE IS A LACK OF INFORMATION AND SUPPORT AND RESOURCES AVAILABLE TO EXISTING HOMEOWNERS ABOUT HOW THEY CAN LEVERAGE THE EQUITY IN THEIR HOME TO BE ABLE TO RENOVATE OR REHAB THEIR HOME.

AND SO THIS IS WHY WE THINK IT'S IMPORTANT TO LOOK AT HOMEOWNERSHIP.

IT'S IMPORTANT TO LOOK AT HOMEOWNERSHIP FROM TWO PERSPECTIVES.

TO SUPPORT NEW HOMEOWNERS OR INDIVIDUALS THAT WANT -- ARE LOOKING TO BUY THEIR FIRST HOME, BUT ALSO TO WORK WITH EXISTING HOMEOWNERS ON THE PROCESS OF BEING ABLE TO REFINANCE THEIR HOME AND REINVEST THOSE DOLLARS BACK INTO THEIR HOME.

SO THERE'S -- I DON'T THINK THAT -- I THINK WE'RE ON THE SAME PAGE AND WE, YOU KNOW, COMMEND YOUR LEADERSHIP AND THE WORK THAT IS HAPPENING IN YOUR DISTRICT, BUT I THINK WE NEED TO DO MORE OF THAT ACROSS THE CITY.

WE NEED TO HAVE DEDICATED HOUSING COUNSELORS THAT ARE WORKING WITH EXISTING HOMEOWNERS SO THAT AS THESE CHANGES ARE HAPPENING, THIS BECOMES YET ONE MORE OPTION, RIGHT? A HOMEOWNER CAN TAKE A LOOK AT THE INVESTMENT THAT HE OR SHE HAS MADE IN THEIR OWN HOME.

>> GONZALES: I GUESS WE KNOW THAT PEOPLE GAIN WEALTH BY HAVING -- BY OWNING A HOME.

SO I WOULD HOPE THAT THAT WOULD BE PART OF THE -- I MEAN PART OF SECOND PHASE 2 OF DISCUSSION THAT WE FIGURE OUT -- I MEAN HOW DO WE PROTECT PEOPLE FROM SPIKING TAXES, BUT AT THE SAME TIME ALLOW THEIR HOME TO BE VALUED HIGH ENOUGH THAT THEY CAN ACTUALLY DO A HOME IMPROVEMENT LOAN.

IF YOUR HOME IS VALUED AT 44,000 AND YOU NEED TO DO FOUNDATION WORK, YOU CAN'T -- THE LENDING -- IT'S NOT ENOUGH.

YOU WON'T BE ABLE TO GET A LOAN -- USING A TRADITIONAL MODEL.

>> THE OTHER THING, THE OTHER FACTOR THAT NEEDS TO BE CONSIDERED IS ONE OF THE REASONS WE LOOKED AT HOUSEHOLDS UNDER 60% OF AMI IS REALLY UNDERSTANDING ALSO THE INCOME OF THESE FAMILIES, RIGHT? AND WHERE THEY ARE AT.

ARE THEY EMPLOYED? ARE THEY ABLE TO TAKE ON -- CAN THEY GO THROUGH THIS PROCESS OF QUALIFYING OR REFINANCE.

SO IT IS -- YOU KNOW, IT IS -- YOU KNOW, IT'S MUCH MORE INVOLVED SO IT REQUIRES A NEIGHBORHOOD BASED APPROACH.

IT CAN'T ALL BE DRIVEN -- WHEN WE TALK ABOUT CREATING A ONE STOP, IT'S A ONE STOP THAT ALLOWS FOR US TO BE ABLE TO COORDINATE AT THE CITY LEVEL, BUT WE ALSO RECOGNIZE THAT WE NEED TO HAVE HOUSING PROVIDERS OR HOUSING CENTERS WITHIN THE NEIGHBORHOOD TO BE ABLE TO ADDRESS THESE, YOU KNOW, HOUSING MATTERS AT THAT LEVEL.

>> GONZALES: THANK YOU FOR THAT.

AND SO ANOTHER QUESTION I HAVE HERE REGARDING PROPERTY TAX RELIEF, SO THAT'S OBVIOUSLY BEEN A TOPIC OF DISCUSSION HERE ON THIS COUNCIL AND IT'S TOO BAD COUNCILMAN PERRY IS NOT HERE BECAUSE HE'S BEEN ONE OF THE ONES PUSHING FOR THAT.

BUT MY ARGUMENT HAS BEEN THAT WE ARE NOT CURRENTLY MEETING OUR OBLIGATIONS.

THAT'S WHY I'VE [INAUDIBLE] PROPERTY TAX RELIEF, BEEN

[01:20:02]

OPPOSED TO ANNEX.

I BELIEVE THAT WE DON'T GET A FULL, ACCURATE PICTURE OF WHAT THE NEEDS ARE IN OUR COMMUNITY.

WE DON'T -- WE JUST HAD A BRIEFING THE OTHER DAY ABOUT OVER $200 MILLION IN FACILITY NEEDS.

WE KNOW THAT THE NEED FOR SIDEWALKS IS IN THE MANY BILLIONS.

WE KNOW THAT THE DRAINAGE COMPONENT IS UNIDENTIFIED THAT IS IN THE BILLIONS OF DOLLARS.

SO THAT'S WHY I HAVEN'T BEEN ABLE TO SUPPORT THAT INITIATIVE TO REDUCE PROPERTY -- BECAUSE WE'RE SAYING OH, YOU KNOW THE CITY IS FLUSH WITH CASH, WE SHOULD HAVE PROPERTY TAX RELIEF.

IT'S NOT THE CASE.

WE BALANCE OUR BUDGET BECAUSE THAT'S HOW MUCH MONEY WE HAVE.

AND SO WE DO A VERY GOOD JOB, I BELIEVE, OF INVESTING IN THINGS APPROPRIATELY, BUT IT'S NOT ALL OF OUR OBLIGATIONS.

SO WHEN YOU ARE -- ARE YOU RECOMMENDING PROPERTY TAX RELIEF? IS THAT WHAT YOU ARE PRESENTING HERE, OR COULD YOU EXPAND ON THAT A LITTLE BIT?

>> YES.

>> [INAUDIBLE] I WAS KIND OF GOING FAST.

WHAT WE WERE TRYING TO SAY AS A TASK FORCE, BECAUSE I KNOW THERE'S ALL KINDS OF OPINIONS AND IDEAS AT DIFFERENT LEVELS OF GOVERNMENT ON TAX RELIEF.

WHAT WE'RE SAYING IS WE DON'T HAVE A RESOURCE PROBLEM, WE HAVE A PRIORITY PROBLEM.

TO YOUR EXACT POINT.

WE ARE BRINGING IN THE RESOURCES, BUT WHERE ARE WE SPENDING THOSE RESOURCES? AND WHEN WE TALK ABOUT A NEIGHBORHOOD PRESERVATION DISTRICT, WE'RE SAYING TAKE THE MONEY FROM THE TAXES THAT ARE BEING COLLECTED, NOT A CAP ON THE TAXES, BUT IF YOU ARE COLLECTING THOSE TAXES, PUT THEM BACK INTO THE NEIGHBORHOOD, PUT THEM BACK WITH THE PEOPLE THAT YOU ARE, I'LL SAY, TAKING THE MONEY FROM.

YOU KNOW, TRY TO REINVEST IN THAT NEIGHBORHOOD.

SO IT'S NOT A CAP, IT'S A RECOMMENDATION TO TAKE YOUR RESOURCES YOU ARE GETTING THROUGH YOUR TAX SYSTEM AND PUT IT BACK INTO THE NEIGHBORHOODS THAT ARE MOST VULNERABLE.

THAT'S WHAT WE'RE TRYING TO SAY THERE.

>> GONZALES: LIKE -- I DON'T WANT TO GET TOO TECHNICAL, BUT ARE YOU SAYING, LIKE, I'VE BEEN TRYING TO ARTICULATE THIS IDEA FOR LAND USE BECAUSE WE KNOW THAT OUR MORE DENSE NEIGHBORHOODS ARE EASIER TO MAINTAIN.

I MEAN ANOTHER EXAMPLE I'VE USED ALSO MANY TIMES IS IN DISTRICT 5, FOR EXAMPLE, THE AVERAGE STREET IS ONLY 26 FEET WIDE N DISTRICT 9 OR 10 THE AVERAGE STREET IS LIKE 36 FEET WIDE.

IT'S THAT MUCH MORE EXPENSIVE TO MAINTAIN THAT INFRASTRUCTURE JUST BASED ON THE NUMBER OF FEET OF PAVEMENT.

SO WE KNOW THAT OUR NEIGHBORHOOD, THAT SMALLER, MORE COMPACTED CONNECTED NEIGHBORHOODS ARE MORE AFFORDABLE TO MAINTAIN.

ARE YOU SUGGESTING SOME TYPE OF TERS OR WHEN YOU SAY PUT IT BACK IN THE NEIGHBORHOODS --U SAYING IN THE FORM OF INCLUDING HOUSING?

>> WE'RE TALKING ABOUT PUTTING IT BACK INTO HOUSING.

HELPING REHABILITATION.

HELPING GENTRIFYING NEIGHBORHOODS WITH OPTIONS SO PEOPLE DON'T HAVE TO SELL THEIR HOUSE TO A FLIPPER.

THEY CAN MAINTAIN IT TO AN ELEVATION THAT'S CONSISTENT WITH THE REST OF THE NEIGHBORHOOD.

THAT RECOMMENDATION, REMEMBER, CAME FROM US UNDER PRO EQUITY THING NEIGHBORHOODS.

IT WAS NOT UNDER FINANCE AND FUNDING -- PROTECTING NEIGHBORHOODS.

WE'RE LOOKING TO HELP THE VULNERABLE NEIGHBORHOODS AND THIS IS ONE SLIDE -- THE SLIDE WE PUT UP FROM THE REPORT WAS JUST AN EXAMPLE OF HOW YOU WOULD IDENTIFY A VULNERABLE NEIGHBORHOOD.

AND SO, YOU KNOW, THIS ISN'T A FINANCING RECOMMENDATION, IT'S A PROTECTION RECOMMENDATION FOR THE NEIGHBORHOODS.

>> GONZALES: THANK YOU FOR THAT CLARITY.

SO I HAVE A LOT MORE QUESTIONS, BUT I THINK I'LL YIELD THE FLOOR BECAUSE I COULD TAKE UP THE WHOLE TIME ASKING QUESTIONS.

AND WE HAVE OUR HOUSING PILOT THAT WE'RE RUNNING IN DISTRICT 5 AND I DID SHARE WITH YOU SOME OF WHAT WE FOUND IN OUR SMALL PILOT THAT HAVEN'T BEEN ADDRESSED HERE, BUT, YOU KNOW, REGARDING ESTATE PLANNING AND TITLE ISSUES.

TO EVEN REGARDING THE VACANCIES, PERHAPS ONE OF THE REASONS FOR ALL THE VACANCIES IS THIS ISSUE WITH PEOPLE NOT HAVING CLEAR TITLE.

THAT WE'RE WORKING ON A LACK OF LENDING PRODUCTS.

FINANCIAL COUNSELING, WHICH YOU DO HAVE IN HERE.

HELP FOR SMALL SCALE DEVELOPMENT.

SO THAT'S ANOTHER THING THAT --S WHAT YOU WERE SAYING IN SOME OF YOUR RECOMMENDATIONS, BUT ALSO FOR CLARITY.

I KNOW THAT ONE OF THE OTHER THINGS THAT WE FOUND IS THAT IT'S MUCH MORE EXPENSIVE TO DEVELOP IN OUR NEIGHBORHOODS FROM -- AND I DON'T MEAN FROM A LARGE DEVELOPER SCALE, BUT IT'S MORE EXPENSIVE FOR A PERSON TO INVEST IN A HOME IN MY DISTRICT THAN IT IS TO INVEST IN A HOME IN OTHER

[01:25:03]

AREAS, THE INITIAL COSTS.

BUT ACTUALLY THE BENEFIT TO THE CITY IS GREATER FOR THE REASONS I MENTIONED, OUR STREETS ARE NARROW, NEIGHBORHOODS MORE DENSE.

IN MY PILOT WHERE WE'RE GOING TO BE WORKING WITH SMALL SCALE DEVELOPERS, I WANT TO WAIVE THE FEES THAT THE CITY SHOULD BE RESPONSIBLE FOR.

LIKE STREET MAINTENANCE, LIKE SIDEWALKS, IMPACT FEES, ALL THOSE THINGS SO THAT THEY CAN GET TO AN AFFORDABLE HOUSE.

WE KNOW THAT THOSE COSTS FOR ONE INDIVIDUAL HOUSE CAN BE AS MUCH AS $30,000 IF YOU HAVE TO PUT A SIDEWALK, YOU HAVE TO DO IMPACT FEES.

NOW ALL OF A SUDDEN THAT COST HAS TO BE PASSED ON TO THE HOMEOWNER.

IS THIS PART OF THE RECOMMENDATION AS WELL? I FELT LIKE I SAW THAT IN THERE.

>> YES.

YES, SO MY COLLEAGUE GENE MENTIONED THERE WILL BE A MORE DETAILED REPORT THAT WE ARE LOOKING TO ISSUE BY AUGUST 1ST, AND THAT REPORT WILL OUTLINE MORE DETAIL TO, YOU KNOW, THE LEVEL THAT YOU'VE JUST -- JUST SHARED WITH US.

I WILL ALSO SAY THAT WE TALKED ABOUT SMALL SCALE DEVELOPMENT AND WE TALKED ABOUT THE IMPORTANCE OF INCORPORATING NEIGHBORHOOD BASED APPROACHES.

SO AS PART OF THE REPORT THAT WE WILL BE PRODUCING, WE WILL BE HIGHLIGHTING SIX TO EIGHT LOCAL -- BASICALLY LOCAL BEST PRACTICES OR OPPORTUNITIES FOR US TO LEARN AS A CITY.

AND I THINK THAT THE PILOT THAT HAS BEEN LAUNCHED IN DISTRICT 5 REALLY LENDS ITSELF TO FURTHER INFORMING HOW WE ADDRESS HOMEOWNERSHIP, HOW WE ADDRESS REALLY RAISING THE LEVEL OF EDUCATION AND AWARENESS ABOUT HOW YOU CAN LEVERAGE YOUR HOUSING AS AN ASSET.

TODAY THE PRESENTATION WAS THE FIVE KEY AREAS WITH THE HIGHEST LEVEL OF RECOMMENDATIONS, BUT AS GENE MENTIONED, WE HAD 300 OTHER RECOMMENDATIONS THAT WE HAVE TO ORGANIZE AND PRESENT, AND SO THERE'S -- THERE'S A LOT THERE, COUNCILWOMAN.

>> GONZALES: THANK YOU FOR THAT AND I'LL YIELD THE FLOOR BECAUSE I REALLY COULD GO ON ALL DAY.

>> MAYOR: THANK YOU.

COUNCILWOMAN SANDOVAL.

CAN COUNCILWOMAN VIAGRAN.

>> VIAGRAN: THANK YOU VERY MUCH AND ALL THE TASK MEMBERS.

THIS HAS BEEN INCREDIBLE WORK AND I HAVE TO THANK EVEN THE MAYOR'S STAFF WHO HAS BEEN WORKING SO HARD ON THIS TOO AND ALL OF THE TECHNICAL WORKING GROUPS BECAUSE WEEK AFTER WEEK YOU ARE ALL TOGETHER WORKING ON THIS, VERY FOCUS -- FOCUS-MINDED INDIVIDUALS WHO WANT TO SEE A SOLUTION.

COULD YOU BRING THE SLIDE UP, JUST HAVE THE SLIDE THAT HAS YOUR RECOMMENDATIONS AT THE END? I GUESS THAT'S SLIDE 73 OR IT SAYS 73.

YEAH, THAT ONE.

THANK YOU.

I DO HAVE --

>> THE FIVE RECOMMENDATIONS?

>> VIAGRAN: NO.

YOU HAD IT ON.

>> THE 20 MILLION.

>> VIAGRAN: YES, MA'AM.

THANK YOU.

I DID HAVE -- I'M JUST GOING TO GO THROUGH THE SLIDES ONE BY ONE.

DON'T WORRY, I'M JUST KIDDING, NOT ONE BY ONE.

SO HERE, THE 165,000 HOUSEHOLDS THAT ARE COST BURDENED, WHERE ARE THESE? ARE THEY JUST LOCATED THROUGHOUT THE CITY? ARE THEY LOCATED INSIDE 410? OUTSIDE IN LOOPS?

>> IT'S THROUGHOUT THE CITY, BUT WE DO HAVE THE INFORMATION AND -- WE HAVE THE INFORMATION BY CENSUS TRACT AND BY COUNCIL DISTRICT.

THAT IS SOMETHING ECONOMIC PLANNING SYSTEMS HAS ALSO PRODUCED, BUT THEY ARE EVERYWHERE.

>> VIAGRAN: SO -- OKAY.

I IMAGINE SO.

BUT FIRST OF ALL, I WANT TO THANK YOU ALL.

ONE, I WAS SUPER IMPRESSED THAT GENE WENT THROUGH THIS AS FAST AS HE DID.

NUMBER 2, THIS IS SOME GREAT DATA, SO THANK YOU VERY, VERY MUCH FOR THIS.

I WASN'T READING THIS THE WHOLE TIME, BUT GENE, YOU DID GO RATHER FAST ON ONE SLIDE THAT I T WOULD LIKE YOU TO GO OVER AGAIN SLOWER THIS TIME FOR ME AND EXPLAIN A LITTLE MORE, AND THAT'S SLIDE 22, THE NARRATIVE CONTEXT OF THE GENERAL TRENDS.

WHERE IT SAYS SINCE 2005 THE CITY HAS GROWN BY AN AVERAGE OF -- AND THE JOBS.

[01:30:05]

THAT ONE.

THAT ONE, SIR.

IF YOU COULD SAY THE EXACT SAME THING YOU DID EARLIER BUT SLOWER.

PLEASE.

>> SINCE --

>> VIAGRAN: I KNEW THAT WAS COMING.

[LAUGHTER]

>> WHAT I SAID WAS, AND, YOU KNOW, DAVID FROM EPS CAN REALLY DIG INTO THIS SLIDE FOR US, BUT WHAT WE SAID WAS IS WE'VE DONE WELL AS A CITY, WE'VE CREATED 14,900 JOBS A YEAR ON AVERAGE.

AND THE PURPOSE OF THIS SLIDE IS TO GET THE BOTTOM RIGHT NUMBER THERE TO SAY THAT WE REALLY SHOULD BE PRODUCING HOUSING ON ALMOST A ONE TO ONE -- FOR EVERY JOB WE CREATE, WE SHOULD CREATE HOUSING.

AND WHAT WE HAVE BEEN DOING INSTEAD IS PRODUCING AT A RATIO OF ABOUT 2.3 JOBS TO ONE HOME.

WHICH MEANS THAT WE'RE PRODUCING THE JOBS AND THE HOUSING IS BEING PRODUCED SOMEWHERE ELSE, SOMEWHERE OUTSIDE OF THE CITY OF SAN ANTONIO, AND WHICH MEANS WE'RE NOT CAPTURING THE FULL ECONOMIC BENEFIT OF THE JOB, THE HOUSES THAT WOULD BE BUILT, THE APARTMENTS THAT WOULD BE BUILT, AND THE AD VALOREM TAX BASE THAT WOULD BE CREATED POTENTIALLY BY THOSE JOBS.

>> VIAGRAN: OKAY.

THANK YOU.

>> SINCE DAVID IS HERE, WOULD YOU LIKE TO SAY SOMETHING, DAVID?

>> I'LL EXPAND ON THAT JUST TO CLARIFY A LITTLE BIT.

DAVID SCHWARTZ WITH EPS.

AND I CALLED GENE THIS MORNING AND ASKED HIM WHAT HE WAS GOING TO WEAR AND HE SAID I'M GOING TO WEAR A LIGHT BLUE TIE WITH A BLUE -- KIDDING.

THESE ARE REALLY INTERESTING NUMBERS AND I WOULD LIKE TO PROVIDE A LITTLE MORE CONTEXT TO WHAT THEY MEAN AND WHY THIS IS IMPORTANT TO PROVIDE IT IN THE NARRATIVE.

THERE ARE -- THERE IS SEVERAL MAIN COMPONENTS TO HOUSING DEMAND.

AND THOSE HOUSING DEMAND DRIVERS ARE EMPLOYMENT AND POPULATION.

AND SECONDARILY WITH THE POPULATION IS ALSO THE LENGTH THAT PEOPLE -- LIFE EXPECTANCY IS INCREASING.

SO WITH THE MORE DEMAND THERE IS FOR HOUSING COMING FROM POPULATION AND EMPLOYMENT, THE MORE PRESSURE IT PLACES ON LIMITED AND CONSTRAINED SUPPLIES.

SO THIS IS LARGELY A SUPPLY SIDE PROBLEM.

AS GENE POINTED OUT SEVERAL TIMES AND DESERVES TO BE REITERATED, IT'S A POINT OF CONGRATULATIONS TO THE CITY'S ECONOMIC DEVELOPMENT ENGINE THAT IT'S GENERATING AS MANY JOBS AS IT IS.

THAT PRODUCES POPULATION DEMAND.

THAT CREATES DEMAND FOR HOUSING.

BUT THE HOUSING DEMAND, THE HOUSING SUPPLY AND THE GROWTH IN SUPPLY HAS ONLY KEPT UP AT ABOUT ONE-HALF OF WHAT BASICALLY -- BASICALLY HALF OF THE HOUSING DEMAND THAT'S BEING CREATED IS BEING SATISFIED BY THE COMMUNITY.

AND SO A NUMBER OF OF THE OTHER PIECES OF INFORMATION IN THIS ARE THAT A LOT OF THOSE NEW HOUSEHOLD DEMAND DRIVERS ARE GOING OUTSIDE THE CITY OF SAN ANTONIO.

SO THAT IS WHERE THE FLIP SIDE OF THE ECONOMIC DEVELOPMENT AND THE VIBRANCY OF THE COMMUNITY IS BASICALLY BEING EXPORTED ELSEWHERE.

AND SO THE IMPORTANCE OF SHOWING THE NATIONAL -- THE NATIONAL AVERAGE IS THAT AT THE NATIONAL LEVEL, WE'RE CREATING FOR EVERY JOB WE'RE CREATING ABOUT ONE HOUSING UNIT.

THE NATIONAL AVERAGE IS ABOUT 1.1 JOBS OR LESS THAN 1.1 JOBS PER HOUSING UNIT.

AND SO IN A METRO AREA, IN A LARGE CITY, THAT IS REALLY THE BENCH MARK FOR WHY THAT'S IMPORTANT.

AND WE'VE LOOKED AT THESE NUMBERS.

EVEN COUNCILWOMAN GONZALES, YOUR QUESTION ABOUT THE GENTRIFICATION AND THE HOUSING PRICES OVER THE PERIOD OF 2011 THROUGH 16, LOOKING AT SOME OF THESE NUMBERS EVEN WHEN WE GO BACK FURTHER TO 2000, TO 1990 AND 1980, WHAT SAN ANTONIO IS EXPERIENCING RIGHT NOW IS EXCESS DEMAND.

IT IS EXPERIENCING A GREAT DEAL OF DEMAND THAT IT HAS NOT EXPERIENCE UNDERSTAND THE PAST.

FOR THE MOST PART THIS CITY HAS BENEFITED FROM GREAT STABILITY.

AND IN THE LAST TEN YEARS THAT HAS CHANGED.

AS THIS HAS BECOME A MORE ATTRACTIVE CITY, IT HAS CREATED GREAT PRESSURE ON BOTH THE OWNERSHIP MARKET AND ON THE RENT -- ON THE RENTER HOUSEHOLDS IN THIS COMMUNITY.

SO I COULD GO ON BECAUSE THIS IS WHAT I DO FOR A LIVING AND I REALLY ENJOY TALKING ABOUT THESE THINGS, BUT I'LL STOP THERE SO THAT YOU CAN --

>> VIAGRAN: THANK YOU VERY MUCH.

THANK YOU FOR ALL OF THAT INFORMATION.

TO FOLLOW UP WITH THAT, ON SLIDE NUMBER 25 OR TWO SLIDES DOWN -- I DON'T KNOW HOW THESE ARE ORDERED -- IT WAS MENTIONED -- NO, THE COMBINED NEW AND EXISTING HOME SALES SLIDE.

[01:35:02]

THE BEXAR COUNTY.

>> NEXT.

>> NEXT.

NEXT.

>> VIAGRAN: THAT ONE.

SO YOU MENTIONED -- SO 2004 PRICE HOMES BELOW 150 WAS 7,500.

2017 HOMES TEN.

YOU MENTIONED IT AS PRIVATE SECTOR.

DOES THAT MEAN HOUSES OR HOMES THAT HAVE BEEN BUILT WITHOUT TAX CREDITS OR ANY TERS DOLLARS?

>> THIS IS MAINLY METRO STUDIES FROM THE GREATER SAN ANTONIO BUILDERS ASSOCIATION AND THE MLS SALES FROM SAN ANTONIO BOARD OF REALTORS.

SO, YOU KNOW, THIS IS A PURE PRIVATE SECTOR SLIDE RIGHT HERE JUST SHOWING YOU THE MACRO SUPPLY AND DEMAND IN OUR COMMUNITY.

>> VIAGRAN: THANK YOU.

AND THEN -- WHAT SLIDE IS THIS ONE? 29? OH, ON SLIDE 29, IT HAS THE OWNERSHIP RATE DROPPED FROM 61 TO 54%.

NOW, DO WE -- DO WE KNOW IF THAT IS BECAUSE PEOPLE ARE CHOOSING -- IT SAYS CITY IS LOSING HOMEOWNERS.

THE MORTGAGES, THE DROP FROM 67 TO 60%, THE OWNERSHIP RATE DROPPED FROM 61 TO 54% OF THE RATE.

IS THAT BECAUSE PEOPLE ARE CHOOSING TO RENT AND NOT BUY HOMES? OR IS IT JUST, AGAIN, THAT SUPPLY AND DEMAND AND THE COST BURDEN?

>> THERE ARE A LOT OF FACTORS THAT HAVE CONTRIBUTED TO THIS -- TO THIS SET OF TRENDS.

I THINK GENE SAID IT ELOQUENTLY IN THAT WHILE THE MORTGAGE RATE HAS DROPPED FROM SOMETHING VERY LOW HISTORICALLY TO SOMETHING EVEN LOWER HISTORICRY, THE PORTION OF -- HISTORICRY, THE PERCENTAGE OF HOUSEHOLD HATS DROPPED AND OWNERSHIP HAS DROPPED.

POINT OF CLARIFICATION AND THINKING ABOUT THIS FROM LONGER TERM PERSPECTIVE, OWNERSHIP RATE [INAUDIBLE] WITH THE MARKET.

OVER THE LAST 35, NEARLY 40 YEARS, THE MORTGAGE RATE HAS DROPPED PRECIPITOUSLY FROM A HIGH OF 17, 18% IN 1979 DOWN TO WHAT IT IS NOW.

AND THE ISSUE IS THAT WHILE THAT HAS BEEN A -- THAT HAS BEEN A POINT OF GREAT INTEREST FOR THIS COUNTRY IN FACILITATING HOMEOWNERSHIP AMONG THE POPULATION, THAT WHILE THE OWNERSHIP RATE DID CLIMB TO ABOUT THE YEAR 2000 AND SUBSEQUENTLY EVEN THROUGH TO 2005, IT -- WHILE THAT MORTGAGE RATE HAS CONTINUED ITS DECLINE, THE OWNERSHIP RATE HAS NOT CONTINUED TO INCREASE.

SO THAT HAS -- THAT RESULTS IN POINTING THE FINGER OR OPENING UP THE DOOR TO OTHER FACTORS THAT ARE CONTRIBUTING TO THAT.

A LIMITED SUPPLY.

THE PORTION IT'S ACTUALLY 12% OF THE NEW [INAUDIBLE] HAVE BEEN OWNER HOUSEHOLDS.

AND SO THE QUESTION BECOMES WHY IS THAT? IS IT REGULATORY? IS IT AFFORDABILITY? IS IT THE MORTGAGE RATE? IS IT ACCESS TO -- IS IT EQUITY? YOUNG BUYERS NATIONALLY HAVE LESS EQUITY AND ARE LESS PREPARED TO FORK OVER A DOWNPAYMENT TODAY THAN IN THE SAME AGE GROUP THEY ARE TODAY THAN THEY WERE 20 AND 30 YEARS AGO.

THAT'S A SIGNIFICANT CONTRIBUTOR TO ONE OF THESE THINGS.

THE OTHER THING AND THE LAST THING I WANT TO MENTION BECAUSE YOU ASKED ABOUT THIS, IS THE CITY NOT PRODUCING THE RIGHT KIND OF HOUSING.

IN SOME WAYS THAT IS DRIVEN ALSO BY VERY NATIONAL INTERESTS.

IF NATIONAL EQUITY AND COMMERCIAL -- AND BUILDERS WANT TO GO AFTER A CERTAIN TYPE OF A PRODUCT, WHICH THEY HAVE BEEN IN THE LAST 10 TO 15 YEARS, THEN WHAT YOU'RE GOING TO SEE IS NOT THE TYPE OF PRODUCT THAT YOUR CITY WANTS TO SEE NECESSARILY.

YOU MAY WANT PATIO HOMES, YOU MAY WANT TOWN HOMES, YOU MAY WANT CONDOMINIUMS. BUT THE NATIONAL MARKET HAS BEEN DRIVING TOWARD RENTAL AND THAT'S ONE OF THE -- THAT'S ANOTHER ONE OF THE PRIMARY REASONS THE CITY HAS BASICALLY BEEN FORCED INTO THE SITUATION IT IS.

NOT BECAUSE OF CHOICE, BUT BECAUSE OF OTHER FACTORS.

I'LL STOP THERE.

>> VIAGRAN: THANK YOU.

LOURDES, ON THAT NOTE, I KNOW YOU HAVE 300 THAT YOU ARE LOOKING THROUGH, HAVE YOU ALL [INAUDIBLE] WHEN WE'RE TALKING ABOUT THE HOUSES THAT WE HAVE, HAVE YOU ALL DISCUSSED THE IMPACT OF SHORT-TERM RENTALS ANY IN THIS CONVERSATION AND IS

[01:40:01]

THAT -- IS THERE A RECOMMENDATION THAT'S GOING TO BE COMING FROM YOU ALL?

>> YES.

IT DID COME UP AND THERE WILL BE A RECOMMENDATION.

I'M GOODING TO ASK JIM TO COME UP AND SPEAK ON THIS ITEM BECAUSE IT CAME UP THROUGH OUR TECHNICAL WORKING GROUPS AND IT IS AN ITEM THAT WE WILL BE ADDRESSING, YOU KNOW, IN THE FINAL REPORT.

>> VIAGRAN: THANK YOU.

>> SURE, SO I'LL JUST SPEAK BRIEFLY ON IT.

WE TACKLED THIS THROUGH HOUSING COMMISSION COMMITTEE, I WANT TO SAY A YEAR AND A HALF OR SO AGO, DEVELOPED A SET OF RECOMMENDATIONS, TALKED WITH STAFF ABOUT THOSE, AND IT WAS REALLY KIND OF A MIRROR OF THE LARGER KIND OF TASK FORCE AND COMMUNITY CONVERSATION THAT'S HAPPENING ABOUT, YOU KNOW, TYPE 1 VERSUS TYPE 2 AND THE EFFECTS OF THOSE TWO ON A NEIGHBORHOOD AND WHAT WE SHOULD DO TO BOTH ENFORCE AND COLLECT FEES AND THEN MAYBE WHAT WE SHOULD DO WITH THOSE FEES.

BUT AGAIN, WE'RE STILL KIND OF FINALIZING THOSE RECOMMENDATIONS, BUT WE DO HOPE TO SPEAK ON THAT SUBJECT IN THE FINAL REPORT.

>> VIAGRAN: THANK YOU VERY MUCH.

THANK YOU FOR LETTING ME KNOW THAT.

NEXT ON SLIDE 44, SO THE -- LET ME SEE.

PREVENT AND MITIGATE DISPLACEMENT.

I'M EXTREMELY HAPPY THAT WE'RE DOING THIS AND TAKING UP THIS ISSUE AND I KNOW WE'VE ALL BEEN WORKING ON THIS FOR A VERY LONG TIME.

IT'S CRITICAL FOR ALL OF OUR COMMUNITY.

HAVE YOU ALL OR ARE YOU LOOKING AT -- WHAT WAS THE DEFINITION OF PUBLIC INVESTMENT? DOES THAT MEAN FEE WAIVERS INCENTIVES? WHAT DOES IN A MEAN?

>> WE WERE LOOKING AT PUBLIC PROJECTS.

PUBLIC PROJECTS IN EXCESS OF $15 MILLION WHERE WE KNOW THAT THERE'S ALSO A HOUSING COMMUNITY SURROUNDING THIS PUBLIC PROJECT.

GENE POINTED TO THE SAN~PEDRO CREEK AS EXAMPLE, WE TALKED ABOUT MISSION TRAILS.

>> VIAGRAN: OKAY.

OKAY.

AND THEN FINALLY -- NOT ON THAT ONE.

I'M NOT DONE YET.

SO CAN YOU TALK TO -- LOURDES, THE ENGAGEMENT OF THE SCHOOL DISTRICTS, WHERE WERE THEY ENGAGED, IN WHAT CAPACITY IN THE TECHNICAL WORKING GROUPS?

>> WE -- WE HAD A MEMBER FROM SAISD WHO WAS INVOLVED WITH OUR TECHNICAL WORKING GROUP FOCUSED ON BRAZILIAN NEIGHBORHOODS.

HE PROVIDED VERY GOOD INFORMATION ABOUT HOUSING POLICY EQUALS TO EDUCATION POLICY AND THE CONNECTION BETWEEN HOUSING AND EDUCATION.

I THINK WHAT YOU'LL FIND, COUNCILWOMAN, IS THAT I'M A FIRM BELIEVER THAT WHEN WE LOOK AT HOUSE, I SEE HOUSING AS A PLATFORM TO OPPORTUNITY BUT IT CONNECTS TO HOUSING, TRANSPORTATION.

AND WE COULD HAVE TAKEN A VERY DIFFERENT APPROACH WITH HOW WE DEVELOP CROSS SECTOR COLLABORATION TO ADDRESS HOUSING, AND IN FACT IT IS ONE OF OUR RECOMMENDATIONS AS WE BEGIN TO LOOK AT PUBLIC ACCOUNTABILITY AND CREATING AN OVERSIGHT, YOU KNOW, BRINGING THE EDUCATION, THE TRANSPORTATION, THE HEALTH CARE PARTNERS.

WE DIDN'T GO INTO IT EXTENSIVELY BECAUSE WE DIDN'T WANT TO DILUTE THE FOCUS ON IMPORTANCE OF EXPANDING HOUSING OPTIONS ACROSS THE BOARD.

BECAUSE THAT WAS REALLY THE CORE OF OUR CHARGE, RIGHT? UNDERSTANDING THE HOUSING DEMAND, THE HOUSING CHALLENGES AND THEN DEVELOPING PROPOSED SOLUTIONS TO INCREASE HOUSING PRODUCTION AND RETROFITTING AND -- WE'VE DISCUSSED THAT AS WE LOOK AT THE HOUSING COMMISSION, THAT THERE'S AN OPPORTUNITY TO BE ABLE TO HAVE A PERSON REPRESENTING THE SCHOOLS OR EDUCATION AT THE TABLE INFORMING THE CONVERSATION.

>> VIAGRAN: THANK YOU, BECAUSE WHEN WE'RE TALKING ABOUT THE ECONOMIC DEVELOPMENT AND THE ECONOMIC OPPORTUNITY FOR THIS, IT'S THINK IT'S JUST AS CRITICAL THAT WE'RE HAVING THAT CONVERSATION BECAUSE WE HEAR THAT.

I DID WANT TO SAY THANK YOU FOR BRINGING ALL OF THOSE -- AGAIN, WE'RE TALKING ABOUT THIS AGAIN IN THIS ONE, THESE ANECDOTAL STORIES, BUT WE HAVE THIS DATA BACKING ALL THIS UP SO I REALLY APPRECIATE THAT.

I DID WANT TO TALK A LITTLE BIT ABOUT THE ONE RECOMMENDATION THAT YOU ALL HAVE ABOUT THE ZONING BY RIGHT, WHICH I THINK IS EXTREMELY PROVOCATIVE AND REALLY

[01:45:01]

DOLLARS, THE PROPOSED DOLLARS WOULD GO WITHIN THE CITY OR IF WE GIVE INCENTIVES FOR THE UNDER ONE ROOF, THE MINOR REHAPPEN, ET CETERA.

AND THE -- REHAB.

AND THE ZONING BY RIGHT, WOULD THAT BE WITHIN THE CITY LIMITS, WIN 1604, 410, HAVE YOU ALL LOOKED OR DISCUSSED THAT?

>> WE HAVE NOT.

WE HAVE NOT GONE TO THE LEVEL OF DETAIL OF LOOKING AT GEOGRAPHY AND BOUNDARIES.

WHAT WE HAVE DISCUSSED AS A POLICY RECOMMENDATION IS THAT, YOU KNOW, WE UNDERSTAND THAT IN ORDER TO BRING IN THE PRIVATE SECTOR AND ALSO THE NONPROFIT HOUSING SECTOR, THAT THEY NEED PREDICTABILITY.

THEY NEED TO UNDERSTAND WHAT ARE THE RULES OF ENGAGEMENT.

AND -- BUT WE ALSO RECOGNIZE THAT, YOU KNOW, PREDICTABILITY MEANS THAT THERE'S A SET OF CRITERIA THAT IS VERY TRANSPARENT TO ALL INDIVIDUALS.

AND IN ESTABLISHING THAT CRITERIA, YOU NEED TO BRING COMMUNITY MEMBERS TO THE TABLE TO HELP INFORM AND CRAFT THAT CRITERIA.

SO WHAT WE'RE SAYING IS WE BELIEVE IN ZONING BY RIGHT, BUT IT HAS TO INCLUDE A COMMUNITY INPUT OR COMMUNITY ADVISORY COMPONENT TO ENSURE THAT THAT CRITERIA THAT GETS ESTABLISHED HAS BEEN INFORMED BY THE PEOPLE IN THE COMMUNITY.

AND THEN ONCE YOU ADOPT THOSE, YOU KNOW, THOSE PARAMETERS OR THOSE REQUIREMENTS, YOU MAKE IT VERY TRANSPARENT AND PUBLIC, AND SO NOW EVERYONE KNOWS THIS IS HOW WE'RE GOING TO OPERATE.

AND EVERY FEW YEARS YOU COME BACK AND REVISE OR REVISIT THAT CRITERIA TO ENSURE THAT IT -- YOU KNOW, THERE ARE NO UNINTENDED CONSEQUENCES AND SO FORTH.

>> LET ME JUST ADD ON BECAUSE IMPLIED IN YOUR QUESTION AND I WANT TO MAKE SURE THE TASK FORCE ANSWERS IT CLEARLY FOR YOU, WE'RE TALKING ABOUT AFFORDABLE HOUSING IN ALL AREAS OF THE CITY, NOT JUST LIMITED.

WE BELIEVE THAT AFFORDABLE HOUSING NEEDS TO BE CONNECTED TO, FOR INSTANCE, OUR SA TOMORROW 13 REGIONAL PLANS.

AND ZONING BY RIGHT MEANS DIFFERENT THINGS IN DIFFERENT PARTS OF THE CITY.

AS WE COME INTO OUR OLDER NEIGHBORHOODS, YOU KNOW, THEY SEE GENTRIFICATION, THE CHANGING OF THEIR NEIGHBORHOOD AND THEY ARE NOT FOR THAT ZONING.

WHEN YOU GO OUT INTO OUR NEWER NEIGHBORHOODS, IT'S ABOUT AFFORDABLE HOUSING AND THOSE PEOPLE, WHOEVER THOSE PEOPLE ARE.

SO WHEN WE SAY AFFORDABLE HOUSING BY RIGHT, IT'S, YOU KNOW, IT'S GOING TO BE AGAINST THOSE TWO DIFFERING OPINIONS ACROSS THE CITY.

BUT WE DO BELIEVE THAT WE NEED TO CONNECT AFFORDABLE HOUSING, THOSE THAT NEED AFFORDABLE HOUSING TO THE JOB SECTORS, TO OUR REGIONAL CENTERS AND ACROSS THE CITY.

AND, OF COURSE, THAT WILL BE ONE OF THOSE CRITERIA IN ZONING BY RIGHT IS IT IN ONE OF THOSE AREAS, BUT WE DON'T WANT TO JUST CONCENTRATE THOSE BECAUSE WE DO WANT PEOPLE THAT HAVE AN AFFORDABLE HOUSING NEED AND HAVE CULTURAL AGO SETS, THEY WANT TO STAY IN THEIR NEIGHBORHOOD, WE ALSO NEED TO CREATE AFFORDABLE HOUSING IN THEIR NEIGHBORHOODS ALSO.

WE THINK THAT WILL BE ALL ABOUT RIGHT DISCUSSION.

WE KNOW YOU WILL PUT TOGETHER A GOOD GROUP OF PEOPLE TO TALK ABOUT THAT.

IT'S REALLY TO PROTECT THE AFFORDABLE HOUSING ARGUMENT FOR YOU GUYS.

>> VIAGRAN: THANK YOU.

AND FINALLY I'M JUST GOING TO CLOSE WITH THANK YOU LOURDES, BECAUSE THIS IS REALLY -- IT'S ACTUALLY BEEN A GREAT BURDEN THAT'S BEEN RELEASED WITH ALL OF THIS DATA YOU'VE PROVIDED.

BECAUSE EVEN THOUGH IT WILL BE TOUGH MOVING FORWARD, WE'LL MAKE TOUGH DECISIONS, BUT YOU'VE HELPED CLARIFY WHY THIS IS A PRIORITY FOR NOT JUST ALL OF OUR DISTRICTS BUT FOR THE ENTIRE CITY OF SAN ANTONIO.

SO YOU'VE MADE IT VERY CLEAR AND YOU'VE ARMED US, IF YOU WILL, WITH A LOT OF GREAT DATA ALREADY THAT WE NEED IN GOING OUT TO OUR NEIGHBORHOODS AND GOING OUT TO OUR COMMUNITIES.

SO I REALLY WANT TO APPRECIATE -- THANK YOU AND APPRECIATE YOU ALL FOR THAT.

AND ACKNOWLEDGING ALL OF THE WORK AND KNOWING THAT NOT DOING ANYTHING IS NOT GOING TO HELP ANYONE IN OUR CITY.

SO THANK YOU FOR THIS UPDATE.

THANK YOU FOR THIS BRIEFING.

I'M LOOKING FORWARD TO -- THANK YOU, MAYOR.

>> MAYOR: THANK YOU.

COUNCILMEMBER BROCKHOUSE.

>> BROCKHOUSE.

THANK YOU, MAYOR.

I WANT TO START BY SAYING THANK YOU TO THE LEADERSHIP AND THE TASK FORCE.

YOU KNOW, EVERYBODY HAS COMMENTS AND THOUGHTS AND I'M GOING TO SAY A FEW THINGS.

IT'S SO MUCH THAT I PROBABLY WILL JUST KIND OF NARROW MY THOUGHTS TODAY AND OVER THE COURSE OF TIME FIGURE OUT

[01:50:01]

HOW THIS IS GOING TO PLAY OUT IN THE DISTRICT I REPRESENT, THE CITIZENS THAT ARE RELYING ON ME INCLUDING THOSE WHO ARE HOMELESS OR CAN'T AFFORD TO LIVE IN DISTRICT 6.

IF IT'S THE WEST SIDE OF SAN ANTONIO IN MY DISTRICT, EDGEWOOD, I HAVE FOLKS STRUGGLING ON THAT LIST OF NEED, THEN I HAVE $500,000 HOMES IN MY DISTRICT AS WELL.

I LIVE IT EVERY DAY IN DISTRICT 6 AND I WANT TO MAKE SURE WHAT HAPPENED I THANK YOU FOR YOUR WORK.

WE'RE GOING TO DIFFER ON THIS AND THERE'S GOING TO BE SOME THINGS I'M GOING TO BE LOOKING HARD.

MY COMMITMENT IS SIMPLE, JUST AS THE LEADER REPRESENTATIVE OF THE COMMUNITY IN DISTRICT 6 IS THAT I'M GOING TO DO MY BEST TO FIND SOMETHING THAT WE'RE GOING TO WORK ON TOGETHER.

I'VE SEEN SOME WE HAD CONVERSATION WITH STAFF OVER THE LAST COUPLE OF WEEKS AND MET AT THE OFFICE, A MARIA, I SAT AT YOUR DINNER TABLE WE CAN FIND COMMON GROUND ON AND SOME OF THOSE BECAUSE I'M A CATHOLIC AND I BELIEVE THERE ARE THINGS WE NEED TO DO AS A PERSON OF FAITH AND AS AN ELECTED OFFICIAL.

THE DECISIONS I'M FORCED TO MAKE OR PUT IN A POSITION TO TAKE CARE OF THE PEOPLE I REPRESENT.

IT'S A LONG PATH AND I VALUE THE WORK NINE OR TEN MONTHS.

THE OUTCOME OF WHAT THIS IS IS FINE, BUT IT DOESN'T DIMINISH NOR DO MY COMMENTS OR WHAT I'M ABOUT TO SAY DO I CONSIDER IT ANYTHING THAN I BELIEVE YOU HAVE YOUR BEST HEARTS IN IT.

I WENT TO THE PALO ALTO FOR AS LONG AS I COULD AND PEOPLE WITH GOODNESS IN THEIR HEART SHOWING UP TO HELP IN OUR COMMUNITY.

THE WORK IS VALUED AUDIO] AND YOUR TIME -- I CONSIDER THIS PROBABLY THE GREATEST OVERREACH OF GOVERNANCE IN DECADES IN SAN ANTONIO.

IS COST NUMBER IS OVERWHELMING.

$20 MILLION IN THE 2019 BUDGET, I'M ANXIOUS TO SEE WHO YOU ARE GOING TO CUT AND TELL NO TO.

US AS A BODY, WHO IS GOING TO GET CUT TO COME UP WITH THAT? $735 MILLION OVER TEN YEARS.

I WANT TO REMAINED PEOPLE, WE'RE ALSO STARING DOWN THE PIPELINE OF A CLIMATE READY PLAN THAT'S GOING TO INFECT EVERYTHING WE DO AS A BUSINESS.

IT'S GOING TO PASS COSTS ON.

BY THE WAY, CONNECT SA IS OUT THERE.

WE HAVE A TRANSPORTATION PLAN THAT'S GOING TO COST HUNDREDS OF MILLIONS OF DOLLARS POTENTIALLY.

WE'RE PROBABLY LOOKING AT WELL OVER A BILLION DOLLARS WORTH OF MONEY NECESSARY TO ENACT, FRANKLY, A VERY AGGRESSIVE POLICY INITIATIVE IN SOCIAL REENGINEERING OF THIS COMMUNITY.

AND I THINK AT THE END OF THE DAY WE'RE GOING TO HAVE TO TAKE THAT.

THE MAYOR STATED HIMSELF ON FIREFIGHTER PETITIONS HE'S GOING TO GO DOOR TO DOOR MAKING A CASE.

I CAN TELL YOU I'M GOING TO BE [INAUDIBLE] IN THE OPPOSITE CASE.

I THINK IN THIS POSITION, I THINK WE ARE OVERREACHING ACROSS MULTIPLE BOUNDARIES AND THAT ROLE IS GOVERNMENT IS VERY IMPORTANT, AND I LOOK FORWARD TO THE CONVERSATION OF THE NEXT FEW MONTHS, HOPEFULLY, I DON'T KNOW, BUT I DO HAVE A PROCEDURAL QUESTION AND THAT'S WHEN ARE WE ACTUALLY GOING TO ACCEPT THESE ITEMS OR DELIBERATE THEM SO WHERE WE CAN TRULY FIGURE OUT WHAT HAS TO HAPPEN IN HERE.

ONE OF THE THINGS I ENCOURAGE AND HOPE COMES SOON IS THE CITY'S ROLE IN THIS PROCESS.

I DIDN'T SEE IT IN THE PRESENTATION TODAY, BUT WHEN THE CITY HAS INCREASED THE COST OF DIRT TO DEVELOPMENT COMMUNITY $25,000 PER PIECE OF LAND BECAUSE OF ONEROUS ONEROUS -- IMPACT FEES, ZONING COSTS, YOU WANT TO KNOW PART OF THE REASON PEOPLE CAN'T AFFORD HOMES? THE COSTS GETTING PASSED ON FROM OVERBEARING REGULATION FROM CITY GOVERNANCE.

WE COME IN AND PUT THAT ON PEOPLE.

YOU THINK, HEY, IT'S ONLY 3% OF AN IMPACT FEE.

THINK ABOUT THAT AFFORD ABILITY CONVERSATION.

YOU ARE ADDING 6 TO $10,000 OF COST FOR SAWS IMPACT FEES AND IT'S 60 TO 80 BUCKS ON SOMEBODY'S MORTGAGE PAYMENT AND THEY CAN'T AFFORD TO EVEN QUALIFY FOR IT.

THERE'S THIS WHOLE STREAM OF REGULATION AND FEES, THINGS GETTING PASSED ON.

I SAW IT WAS PART OF YOUR PLAN TO REDUCE SOME OF THOSE COSTS.

SO MY ASK ALWAYS IS, YOU KNOW, LET'S LOOK TO SEE

[01:55:01]

WHERE WE CAN CUT DOLLARS.

WE CAN REDUCE FEES AND REGULATION HAND IN HAND WITH --, THERE'S NOTHING IN HERE THAT RECOMMENDS CUTTING MASSIVE AMOUNTS OF DOLLARS.

IT'S A MASSIVE FINANCIAL RAISE, RIGHT? WE WANT MONEY, THIS IS A LARGE CASH INFUSION.

I WOULD HAVE HOPED TO HAVE SEEN AND I'LL BE WAITING FOR IT, WHERE IS THE LIKE-MINDED CUT IN FUNDING? SO IF YOU WANT 20 MILLION TO BUDGET, WHO GOES? WHO SACRIFICES? WHO CUTS FOR THAT.

735 OVER TEN YEARS, OKAY, HOW ARE WE CUTTING OR REDUCING FEES.

AND THEN ENSURING COST REDUCTIONS ARE TRANSFERRED ON TO THE CONSUMER.

I'M LOOKING FORWARD TO THAT CONVERSATION BECAUSE I THINK AT THE END OF IT A DOLLAR IS A DOLLAR REALLY WHICHEVER SIDE IT COMES FROM.

IF WE CAN -- AS OPPOSED TO CREATING A NEW DOLLAR IN REVENUE BY BONDING OR DEBT OR FEES, WE'RE BASICALLY PATRICIA ACCOMPLISHING THE SAME GOAL.

SOMETIMES IT CAN COME FROM DEVELOPMENT, SOMETIMES IT COMES TO LEANING INTO THINGS OUT OF OUR PURVIEW.

I HAVE BIGGER CONCERNS ABOUT THE CITY TURNING INTO A LENDER, UNDERWRITING ARM, HOUSING CENTER.

THERE ARE AREAS WHICH I'M WILLING TO GO INTO.

I THINK WE CAN, BUT WE ALSO ALSO HAVE TO REALLY UNDERSTAND -- HOMEOWNERSHIP AS A RIGHT IS A VERY DIFFICULT CONVERSATION BECAUSE, FRANKLY, NOT EVERYBODY CAN A A HOMEOWNER UNTIL THEY DO CERTAIN THINGS IN THEIR OWN CONTROL, RIGHT, THEIR OWN PERSONAL RESPONSIBILITY SUCH AS CREDIT.

IF YOU DON'T HAVE THE CREDIT, YOU DON'T GET A HOME.

PART OF THE REASON WE HAVE LOWER HOUSING STOCK NOW IS, YOU KNOW, AND FEWER HOMEOWNERS IS DODD FRANK.

WE WENT BACK TO 2008, THE MORTGAGE MARKET CRASHED, EVERYBODY HAD A MORTGAGE.

FRANKLY, A LOT OF PEOPLE SHOULDN'T HAVE BEEN HOMEOWNERS.

THERE'S NO RIGHT TO HOMEOWNERSHIP IN THAT CONVERSATION, BUT WE'RE DOLING OUT MORTGAGES AND THEN WE HAVE PEOPLE AND HOUSING PRICES INFLATED, THEN THE MARKET CRASHES, IT'S RIGHT SIZED ITSELF IN THIS CREDIT BATTLE AND I'M WORRIED ABOUT THE CITY INTERJECTING ITSELF IN THAT CONVERSATION.

SO, YOU KNOW, I'D LIKE TO MAKE SURE -- HOPEFULLY THE NEXT PRESENTATION HAS THAT WHICH IS HOW ARE WE GOING TO DEAL WITH THINGS OUTSIDE OF OUR CONTROL.

THE AMERICANS WITH DISABILITIES ACT, THAT'S COMPLETELY OUT OF OUR RANGE.

THESE THINGS THAT COME WITH SOMEBODY BUILDING A HOME ASSOCIATED WITH THE AMERICANS WITH DISABILITIES ACT IS RAISING THE COST OF A 'EM WHO.

THAT'S OUT OF OUR CONTROL.

WE HAVE TO NARROW IN WHERE WE CAN AFFECT THE CHANGE AND I'D LIKE TO POINT THE FINGER AT THE CITY OF SAN ANTONIO FIRST.

SO I HOPE, WILL YOUR PRESENTATION INCLUDE RECOMMENDATIONS FOR ROLLBACK AND REDUCTION OF FEES ACROSS THE ENTIRE HOUSING SPECTRUM OR IS THAT COMING OR DO YOU HAVE CLEARLY DEFINED REGULATIONS THAT NEED TO BE ROLLED BACK?

>> LET ME START OFF, COUNCILMAN, BY ACKNOWLEDGING A FEW THINGS THAT YOU MENTIONED.

AND QUITE FRANKLY, I DON'T FEEL LIKE THIS IS -- THE FIVE OF US COMMITTED THE LAST TEN MONTHS ALONG WITH HUNDREDS OF OTHER PEOPLE TO ADDRESSING HOUSING IN OUR CITY, AND WE ARE NOT THE POLICY MAKERS.

WE ARE PROVIDING YOU A SET OF POLICY RECOMMENDATIONS BASED ON A VERY ROBUST COMMUNITY-DRIVEN PROCESS, BASED ON DATA THAT WAS GATHERED THROUGH THE SUPPORT OF A NUMBER OF NATIONAL AND LOCAL EXPERTS.

AND I THINK THE DATA REALLY SPEAKS FOR ITSELF.

30% OF OUR NEIGHBORS, 30% OF OUR HOUSEHOLDS IN SAN ANTONIO ARE SPENDING MORE THAN 30% OF THEIR INCOME.

THAT MEANS THAT THEY ARE HURTING, THAT MEANS THAT THEY ARE NOT ABLE TO ADDRESS SOME OF THEIR OTHER BASIC NECESSITIES.

WE'RE NOT SAYING THAT WE ARE --U TO -- WE'RE NOT MAKING THE DECISIONS HERE, COUNCILMAN.

WHAT WE'RE SAYING IS WE TOOK THE LAST TEN MONTHS TO STUDY THIS AND TO PROVIDE OUR BEST RECOMMENDATIONS FORWARD.

AS YOU ALL BEGIN TO DELIBERATE GOING INTO THE BUDGET PROCESS, I THINK THAT, YOU KNOW, THE POINTS THAT YOU BRING UP WILL BE REALLY IMPORTANT POINTS FOR THE COUNCIL TO ADDRESS.

I WOULD ALSO SAY THAT AS IT RELATES TO THE ISSUE OF DEVELOPMENT AND DEVELOPMENT BARRIERS OR ELIMINATING BARRIERS TO DEVELOPMENT, THIS IS WHERE I THINK WE HAVE AN OPPORTUNITY TO BE ABLE TO STREAMLINE THE PROCESS, AND NOT JUST FOR LARGE SCALE HOUSING DEVELOPERS BUT ALSO SMALL SCALE HOUSING DEVELOPERS.

WE RECOGNIZE THAT THE FEDERAL GOVERNMENT, THE STATE GOVERNMENT AND THE LOCAL GOVERNMENT CAN'T DO IT

[02:00:01]

ALONE, AND IN FACT WE HAVE A NUMBER OF DEVELOPERS HERE WITH US TODAY THAT I THINK ARE WANTING TO BE PART OF THE SOLUTION.

SO YES, YOU KNOW, OUR RECOMMENDATIONS WILL INCLUDE SOME VERY SPECIFIC CHANGES THAT CAN BE MADE TO SIMPLIFY THE REGULATORY PROCESS TO MAKE IT MORE PREDICTABLE AND REALLY TO INVITE PRIVATE SECTOR PARTNERS TO BE PART OF THE SOLUTION.

>> BROCKHOUSE: I APPRECIATE THAT AND WE DISAGREE ON IT, THAT'S FINE.

$735 MILLION AUDIO] EMPLOYEES OF THE CITY OF SAN ANTONIO IS A PRETTY LARGE ASK UNDER ANY REALM.

THAT'S AN ENTIRELY NEW DEPARTMENT TO HANDLE THIS AND A NEW EXECUTIVE, RIGHT? IT'S A BIG ASK.

OKAY, WELL, I JUST -- I THINK WE SHOULD SEE SPECIFICS, HOPEFULLY.

SO JUST FOR THE CITY MANAGER, WHEN ARE WE LOOKING AT TIME LINEWISE ON ACTUALLY APPROVING THESE ITEMS? WE DELIBERATE THEM IN AUGUST, I THINK SLIDE 74 SAYS COUNCIL DELIBERATES AND CONSIDERS.

IS THERE A TIMING WHEN WE WOULD ACTUALLY VOTE ON THESE ITEMS?

>> WELL, BASED ON FEEDBACK FROM THE CITY COUNCIL HERE, BUT ALSO WITH THE GOAL SETTING SESSION THAT THE COUNCIL CONDUCTED AT THE END OF MAY, HOUSING AND THE RECOMMENDATIONS OF THE TASK FORCE WERE IDENTIFIED AS A PRIORITY, NOT UNANIMOUSLY, BUT OF A MAJORITY OF THE COUNCIL IDENTIFIED HOUSING AS A PRIORITY.

THAT DOESN'T MEAN THAT THESE SPECIFIC RECOMMENDATIONS IN TOTAL, BUT RATHER WE'LL BE WORKING WITH THE TASK FORCE OVER THE SUMMER AND I WILL INCORPORATE TO THE EXTENT THAT I CAN UNLESS DIRECTED OTHERWISE SOME OF THE PRELIMINARY RECOMMENDATIONS THAT THE TASK FORCE IS PRESENTING.

SO WE'LL CONTINUE TO WORK WITH THEM.

WE'LL CONSIDER THE FINAL REPORT AND TAKE SOME OF THESE RECOMMENDATIONS INTO CONSIDERATION AS I PREPARE THE BUDGET.

BECAUSE BY CHARTER I MUST PRESENT THE BUDGET IN EARLY AUGUST TO THE CITY COUNCIL.

IT MUST BE ADOPTED BY THE COUNCIL BY MID-SEPTEMBER.

AND AS WE ALL KNOW, TWO-THIRDS OF OUR GENERAL FUND BUDGET IS CONSUMED IN PUBLIC SAFETY.

SO WE HAVE WITHIN THE GENERAL FUND ABOUT ONE-THIRD OF OUR GENERAL FUND BUDGET TO WORK WITH THAT FUNDS STREETS AND SIDEWALKS, PARKS AND RECREATION, LIBRARIES, SENIOR CENTERS, COMMUNITY FACILITIES, HEALTH CODE ENFORCEMENT, ANIMAL CARE, ALL OF THOSE OTHER THINGS THAT WE DO.

SO WE'LL BE TAKING THESE RECOMMENDATIONS UNDER CONSIDERATION THIS SUMMER AS WE PREPARE THE BUDGET AND I'LL BE WORKING CLOSELY WITH PETER AND SOTO ON THESE TO SEE WHAT WE CAN MAKE IN TERMS OF RECOMMENDATIONS TO THE CITY COUNCIL THAT WILL BE COMING FORWARD ON AUGUST [INAUDIBLE].

>> BROCKHOUSE: OKAY, SO -- ALL RIGHT.

THAT'S A VERY THOROUGH ANSWER.

THANK YOU.

OKAY.

AUGUST.

SO I JUST DON'T KNOW -- THIS IS JUST A LOT OF -- I JUST HAVE A LOT OF GRAVE CONCERNS ABOUT IT.

IT'S ONE THING YOU WORK SEVERAL MONTHS AND TO BRING IT BACK.

NOW WE HAVE TO TAKE THIS OUT TO THE COMMUNITY AND SEE HOW PEOPLE FEEL ABOUT IT AND I THINK THIS IS A WORTHY DISCUSSION, RIGHT? THE ROLE OF GOVERNMENT DISCUSSION TURNS INTO HOW WE GET OUT AND ASK THE QUESTIONS IF PEOPLE BELIEVE THIS THESE THINGS AND WANT TO SPEND THAT KIND OF MONEY.

IT'S A MASSIVE REDISTRIBUTION OF WEALTH.

ARE PEOPLE GOING TO BE ON BOARD WITH THAT AND HOW DO RESIDENTS FEEL ABOUT IT? I WANT TO MAKE SURE WE HAVE TIME TO GO BACK AND FIGURE THIS OUT.

I FRANKLY AM CONCERNED -- LIKE I SAID, YOU MENTIONED ZONING BY RIGHT.

THAT'S VERY DIFFICULT CONVERSATION WHEN IT COMES TO PROTECTION OF NEIGHBORHOODS IN THEIR CURRENT FORM.

THAT'S A LENGTHY DISCUSSION ABOUT HOW WE'RE REMOVING NEIGHBORHOODS FROM THESE TYPES OF THINGS.

WE TALKED ABOUT HOUSING REHAB, WE INVEST MONEY INTO HOUSING REHABILITATION.

IT'S NOT A DOLLAR FOR DOLLAR PAYBACK.

YOU PUT $15,000 IN A HOME, YOU ARE LUCKY TO GET ONE-THIRD OF THAT BACK IN VALUE.

THESE DOLLARS AREN'T A ONE FOR ONE DOLLAR THING.

IT'S LIKE DRIVING A NEW CAR OFF THE LOT.

YOU ARE IMMEDIATELY LOSE VALUE.

THESE AREN'T DOLLAR FOR DOLLAR INVESTMENTS AND AT SOME POINT THERE'S SOME PERSONAL LEVEL OF RESPONSIBILITY.

THE REASON THEY DON'T HAVE THE CREDIT, THERE'S MANY REASONS GOING FOR THAT.

THE TIED UP CREDIT MARKET.

THERE'S A LOT OF THINGS WE'VE GOT TO BE CONCERNED ABOUT OVER A PERIOD OF TIME HERE.

AND THEN, YOU KNOW, WHEN YOU WRAP ALL THESE ITEMS TOGETHER, WHICH I THINK IS SCARY FOR THE COMMUNITY.

YOU GOT YOUR PIECE OF IT, BUT I THINK IT'S SCARY FOR THE COMMUNITY THIS IS JUST THE FIRST OF MULTIPLE TASK FORCE REQUESTS THAT ARE COMING OUR WAY.

WE'RE TALKING BILLIONS OF DOLLARS HERE POTENTIALLY OF

[02:05:01]

GOVERNOR SPENDING.

-- GOVERNMENT SPENDING.

THE REASON PEOPLE DON'T WANT TO BUILD HOMES IN SAN ANTONIO IS BECAUSE THEY DON'T WANT TO BUILD IN SAN ANTONIO.

THAT'S IT.

THEY DON'T LIKE US.

I'VE SAID IT A HUNDRED TIMES.

THE DEVELOPMENT COMPANY DOESN'T WANT TO DO BUSINESS WITH US.

WE DO THE SMALLEST DEALS IN SAN ANTONIO BECAUSE THERE'S NO DEALS THERE.

IT'S TOO DIFFICULT TO WORK WITH THEM.

THAT'S DOWN TO THE SMALLEST DEVELOPER AND BUILDER WHO SAYS I CAN'T EXPAND MY BUSINESS, NO OFFENSE, DEVELOPMENT SERVICES AND THE FEES AND STRUCTURE STANDING IN OUR WAY.

BEFORE WE GO ASK THE PUBLIC FOR MORE MONEY, WHICH IS WHAT THIS IS, WE SHOULD LOOK AT THIS OURSELVES AND SAY WHAT CAN WE REDUCE.

THAT SHOULD BE THE FIRST SLIDE, WHAT CAN WE CUT, TAKE OUT OF THE EQUATION, REDUCE TO CREATE AN ECONOMIC ENGINE THAT PEOPLE WANT TO BUILD AND COME TO SAN ANTONIO.

WE GET UPSET ABUSE THEY PLOP THEMSELVES OUTSIDE 1604 AFTER MARCH BACK.

THAT'S -- DOESN'T REQUIRE US ASKING A CITIZEN IN DISTRICT 6 TO PAY FOR SOMEBODY ELSE'S ROOF.

THAT'S A TOUGH CONVERSATION, A WORTHY CONVERSATION.

I SPENT A BULK OF MY CAREER IN HOUSING.

ARE YOU WILLING TO FUND THAT PERSON'S ROOF OR THEIR HOUSING DOWNPAYMENT ASSISTANCE OR A MYRIAD OF THINGS.

I LOOK FORWARD THE THE CONVERSATION AND IF PEOPLE ARE GOING TO GO AROUND THIS COMMUNITY, WE'RE GOING TO BE KNOCKING ON DOORS TALKING ABOUT IT, FIGURING OUT, I DON'T KNOW IF WE HAVE ENOUGH TIME BECAUSE THIS HAS TO BE ENDED IN AUGUST.

I ALSO REQUEST WE SEE SOONER RATHER THAN LATER WHO GETS CUT OUT OF $20 MILLION YOU ARE ASKING FOR.

MANAGER WILL COME BACK WITH RECOMMENDATIONS, BUT SOMEBODY IS GOING TO LOSE WHEN $20 MILLION HAS TO GO TO 18 PEOPLE AND MYRIAD OF REQUESTS TO INCREASE PROGRAMS WHO IS GOING TO GET CUT.

I GOT A LOT OF SIDE EYE WHEN I MENTIONED CUTTING BUDGETS LAST YEAR AND I'M ANXIOUS TO SEE WHO IS GOING TO GET CUT NOUN TO FUND THIS CONVERSATION.

ALL OVER THE MAP BECAUSE I HAVE PAGES OF NOTES.

TO THE RESIDENTS OF DISTRICT 6, I ONLY WANT TO SAY THIS.

I'M GOING TO MAKE SURE THEY ARE PROTECTED, THAT THEIR GOALS AND THINGS MATTER MOST TO THEM, HOUSES, TAXES, JOBS AND EVERYTHING.

WE'VE GOT TO BE VERY CAREFUL AS A COUNCIL.

THE MAYOR HAS A MASSIVE AGENDA COMING OUR WAY INCLUDING TRANSPORTATION AND CLIMATE, AND A LOT OF MONEY FROM A LOT OF PEOPLE.

I'M ANXIOUS TO HAVE THAT CONVERSATION GOING INTO THE REST OF THIS YEAR AND NEXT ON THE FUTURE AND FOCUS OF THE CITY OF SAN ANTONIO BECAUSE I THINK WE'RE ON THE WRONG TRACK AND LOOKING FORWARD TO MAKING SURE WE PUT THOSE DOLLARS IN FRONT OF THE PUBLIC SO THEY HAVE A SAY IN THIS BECAUSE RIGHT NOW THEY DON'T.

THANK YOU.

>> FROM A LOT OF PEOPLE.

AND WHEN YOU SPEAK ABOUT PERSONAL RESPONSIBILITY, PEOPLE ARE TAKING PERSONAL RESPONSIBILITY.

THEY CAME AND SHARED THEIR CONCERNS, THEY SHARED THEIR SOLUTIONS.

SO I JUST WANTED TO SHARE THAT WITH YOU BECAUSE I DON'T WANT YOU TO THINK OR ANYONE ELSE TO THINK THAT THIS WAS SOMEHOW DRIVEN FROM THE TOP DOWN, FROM CITY STAFF, FROM THE TASK FORCE.

THIS WAS A BOTTOM UP APPROACH WHERE PEOPLE ARE LOOKING FOR SOLUTIONS TO ADDRESS HOUSING.

AND SO WE LOOK FORWARD TO THE CONVERSATION AS TO HOW BEST OUR CITY CAN ADDRESS THE CONCERNS AND THEN ALSO MOVE FORWARD WITH SOME OF THESE RECOMMENDATIONS.

I JUST WANTED TO CLARIFY.

>> BROCKHOUSE: I APPRECIATE THAT AND I'M VERY THANKFUL FOR YOUR WORK.

THIS IS A DIFFERENCE OF OPINION NOW AND YOU ARE FIGHTING FOR EDGEWOOD AND I DO WANT TO RECOGNIZE THAT.

YOU'RE NOT JUST SITTING ON THE SIDELINES.

I KNOW YOU ARE FIGHTING FOR.

I JUST WANT TO MAKE SURE -- WE'LL FIND COMMON GROUND ON ITEMS, BUT ON GOALS AND EVERYTHING ELSE, I THINK WE HAVE A A LOT OF WORK TO DO.

I DO APPRECIATE YOUR TIME.

>> MAYOR: THANK YOU.

COUNCILMAN SALDANA.

>> SALDANA: IT'S LIKE GOING THROUGH THE BUFFET LINE.

FIRST, I THINK WE SAID THIS SEVERAL TIMES ABOUT THE PRESENTATION.

GENE, YOU EMPHASIZED THIS, WE DON'T HAVE A RESOURCE PROBLEM, WE HAVE A PRIORITY PROBLEM.

WHAT THAT MEANS IS WE'VE MADE DECISIONS THROUGHOUT OUR CITY'S HISTORY ABOUT BIG GOVERNMENT SPENDING, BILLIONS OF DOLLARS OF GOVERNMENT SPENDING.

THAT GOVERNMENT SPENDING HASN'T ALWAYS BEEN TO THE BENEFIT OF EVERY COMMUNITY MEMBER OR EVERY SIDE OF THE CITY, WHICH IS, YOU KNOW, I'LL GIVE YOU A FEW EXAMPLES.

WHERE YOU ARE BUILDING 151 OR 1604, THOSE ARE BILLION DOLLARS EXPENDITURES.

BILLION DOLLARS GOVERNMENT

[02:10:01]

SPENDING THAT IS GOING IN TO SUPPORT THE DEVELOPMENT AND IN MANY CASES THE PRIVATE DEVELOPMENT OF THOSE AREAS, HOUSING AND COMMERCIAL.

THAT'S A RESOURCE THAT WAS PLUGGED IN BASED ON A PRIORITY.

AND THEN I THINK THE ISSUE THAT WE'RE FACED WITH HERE IS, YOU KNOW, WHEN I THINK ABOUT WHAT I WANT TO SPEND WHEN I SPEND TIME ON COUNCIL, I WANT TO SPEND TIME ON BIG ISSUES THAT HAVE A AFFECT ON OUR COMMUNITY.

THE COMMUNITY I REPRESENT, THEY FEEL LIKE THEY ARE GETTING A VOICE OR MAYBE THEY HAVEN'T GOTTEN A VOICE IN A LOT OF THOSE BIG DECISIONS OF BIG RESOURCES THAT HAVE GOTTEN INTO THE CITY MADE BY POLICY MAKERS SITTING AROUND THIS TABLE IN THE PAST.

I SAY THAT BECAUSE I THINK ABOUT THE ISSUE OF HOUSING THE SAME WAY I THINK ABOUT THE ISSUE OF TRANSPORTATION OR THE ISSUE OF EDUCATION.

AND I SPENT TIME IN A LOT OF THOSE SUBJECT MATTERS, BUT I HAVEN'T REALLY SPENT AS MUCH TIME IN HOUSING AND I THINK WHAT YOU'VE ALLOWED ME TO DO IS EDUCATE MYSELF ON HOW IMPORTANT IT IS TO AN INDIVIDUAL'S LIFE.

NOT TALKING ABOUT THE ENTIRE CITY OR THE DEMOGRAPHIC SHIFTS, ALTHOUGH YOU HAVE A LOT OF DATA ON HOUSING AND RENTAL NEEDS, BUT HOUSING IS ONE OF THOSE ISSUES THAT IS CONSTANTLY COMING UP ON OUR COMPUTER SCREEN AND WE'RE CONSTANTLY HITTING REMIND ME LATER.

NOT SOMETHING WE WANT TO DEAL WITH PARTLY BECAUSE OF HOW COMPLICATED IT IS, AND THE WORK OF TEN MONTHS OF FOUR WELL, YOU KNOW, CAPABLE INDIVIDUALS GET THROUGH THE END OF IT AND STILL TELL US IT'S COMPLICATED.

SO I UNDERSTAND THIS IS NOT A SUBJECT MATTER FOLKS WANT TO DELVE INTO BECAUSE IT'S NOT AS SUMMER -- SIMPLE AS AN INFRASTRUCTURE SOLUTION.

WE NEED TO FIND SOLUTIONS QUICKER ARE ARTICLES WRITTEN IN OUR NEWSPAPER ABOUT WHO ARE STRUGGLING.

I THOUGHT ONE OF THE BEST ARTICLES THAT WOKE US UP TO THINK ABOUT THE ISSUE OF LIVING IN A DIVIDED SPRINGFIELD, AN ECONOMICLY DIVIDED CITY, THE EXPRESS RAN A GREAT EXPOSE CALLED THE WORLD APART, WHAT IT'S LIKE TO LIVE IN A COMMUNITY IN 78207 VERSUS IN 78250.

AND WHAT IT DESCRIBED WAS NOT A VERY SIMPLE STORY TO SWALLOW IF YOU BELIEVE IN HELPING PEOPLE.

BECAUSE IT WAS INDIVIDUALS WHO BECAUSE OF, YOU KNOW, ONE VEHICLE MALFUNCTION, YOU KNOW, ONE MEDICAL EMERGENCY, HAD TO START PUTTING THEMSELVES IN POSITIONS TO MAKE DIFFICULT SACRIFICES ABOUT WHERE THEY LIVED, AND THAT MIGHT MEAN THEY DIDN'T HAVE ACCESS TO SOME OF THE BEST SCHOOLS OR INFRASTRUCTURE OR SOME OF THE BEST FOOD IN THEIR NEIGHBORHOODS.

AND YOUR HEART REALLY BEATS FOR WANTING TO BE ABLE TO DO SOMETHING FOR THESE INDIVIDUAL.

WHEN I'M ASKED ABOUT WHAT KIND OF AREAS I WOULD LIKE TO SPEND MY TIME IN, WE DO THE STREETS AND SEATTLE SEAHAWKS AND THE -- SIDEWALKS AND THE PARKS, BUT IF YOU WANT A LASTING IMPACT ON THE BIG PROBLEM THE COMMUNITY HAS SAID FOR SO LONG REMIND ME LATER, THE DIVISION OF EXPERIENCE OF LIVING IN ONE AREA VERSUS ANOTHER, IT ALL STARTS AT HOME.

AND HOW YOU GET YOUR HANDS AROUND THIS ISSUE.

I WANT TO START TO TRY TO DO THAT WITH A FEW QUESTIONS AROUND HOW YOU ALL HAVE RECOMMENDED WE GET OUR HANDS AROUND THIS ISSUE.

I TOLD YOU TO COME AT US WITH THE BIG BOLD RESPONSES.

YOU DID NOT DISAPPOINT.

>> THANK YOU.

>> SALDANA: AND I THINK THAT'S WHAT WE WERE LOOKING FOR, A STARTING POINT FOR WHAT WE BELIEVE IS AN IMPORTANT WAY TO HAVE AN IMPACT ON HOUSING.

LET ME START WITH ONE OF THE FIRST ONES AND ONE OF THE MOST IMPORTANT, INSTITUTIONALIZING THAT SOMEBODY IN THE CITY AT A HIGH LEVEL OF EXECUTIVE DECISION WITH ABILITY TO MAKE DECISIONS, TO BE EVALUATED CARES ABOUT THIS ISSUE AND THE IMPLEMENTATION OF SOME OF THE RECOMMENDATIONS.

WHETHER THAT MEANS REMOVING BARRIERS AT THE DEVELOPMENT AREA, DEPLOYING RESOURCES THE CITY MAY PUT INTO THIS AREA.

IF YOU DON'T INSTITUTIONALIZE SOMEBODY AT THE CITY WHO IS DELIVERING AND EXECUTING ON THESE PROGRAMS, IT WILL FAIL.

I'VE SEEN IT HAPPEN.

AND I'VE SEEN THE OPPOSITE HAPPEN.

WHEN WE PUT SOMEBODY IN DISCHARGE IN THE CITY MANAGER'S OFFICE AND IT BECOMES AN ASSISTANT OR DEPUTY CITY MANAGER'S ROLE AND RESPONSIBILITY, IT GETS EXECUTED TO SUCCESS.

I THINK OF A PROGRAM LIKE PRE-K FOR SA, BEFORE WE HAD A BOARD OF PROFESSIONALS TO DO THAT, I THINK ABOUT OUR BOND PROGRAM THAT'S BEEN INSTITUTIONALIZED FROM EVERY LEVEL WHERE PEOPLE WORKING WITH THE PRIVATE SECTOR ON

[02:15:02]

EXECUTING QUICK PAYMENT ON PROJECTS TO ACCOUNTABILITY AND TRAINS -- TRANSPARENCY, IT'S TRANSPARENT AT ALL LEVELS AND THE SAME LEVEL OF ATTENTION THAT HOUSING SHOULD GET AT THE CITY.

CHERYL, AS WE BOTH NODDED OUR HEADS IN AGREEMENT TO THIS, I THINK THAT'S TRULY THE WAY ANY MANAGER OR EXECUTIVE OR CITY MANAGER IN ANY CITY IS SUCCESSFUL IS WHEN THEY IMPLEMENT THE POLICIES OF THE COUNCIL BY MAKING SURE THAT IT'S -- THAT POLICY IS PRIORITY FOR YOUR STAFF AS WELL.

SO LOURDES, IF I CAN ASK, AND MAYBE CHERYL -- IN AUDIO] GENE HAS PUT UP THE FOUR DIFFERENT LEGS OF THE STOOL WITH WATER, ELECTRICITY -- I'M MISSING THE OTHER.

CPS AND HOUSING BEING THE OTHER.

CAN WE TALK ABOUT WAYS THAT MAY BE POSSIBLE.

CHERYL, IF YOU WANT TO CHIME IN.

>> IF I JUST MAY, I'M VERY GLAD, COUNCILMAN, THAT YOU SHARED THE EXAMPLES OF HOW THE CITY -- THE CITY HAS -- KNOWS HOW TO DO THIS, YOU KNOW, KNOWS HOW TO BUILD CAPACITY WHEN AN ISSUE BECOMES A PRIORITY.

I THINK WE'VE HAD CONVERSATIONS WITH CITY MANAGER CHERYL SCULLY ABOUT HOUSING HAS NOT NECESSARILY ELEVATED TO BEING A PRIORITY IN OUR CITY.

BUT I THINK WITH A DEDICATED INDIVIDUAL THAT CAN BE STRATEGIC AND CAN LOOK AT COORDINATING THE VARIOUS HOUSING RECOMMENDATIONS ACROSS THE BOARD WITH A VERY STRONG NEIGHBORHOODS AND HOUSING SERVICES DEPARTMENT THAT IS RUNNING BASICALLY THE DAY TO DAY OPERATIONS AND IS AVAILABLE TO WORK WITH DEVELOPERS OR HOUSING PROVIDERS, AND IS ALSO BEGINNING TO EXPAND THEIR ROLE BEYOND BEING AN ADMINISTRATOR OF FEDERAL OR STATE PROGRAMS TO BEING A LEADER AND TO BEING AN INNOVATOR IN HOUSING, I THINK IT'S VERY POSSIBLE TO DO THAT.

WE HAVE, YOU KNOW, LEARNED A LOT FROM THE STAFF THAT IS THERE, BUT QUITE FRANKLY THEY HAVE BEEN ALSO VERY FRANK AND HONEST WITH US THAT THEY DON'T CURRENTLY HAVE THE CAPACITY OR THE RESOURCES TO BE ABLE TO TAKE ON THE RECOMMENDATIONS THAT WE'RE PROPOSING; HENCE THIS IS WHY WE ARE RECOMMENDING THAT THE CITY CONSIDER EXPANDING STAFF, BUT HIRING STAFF WITH A SKILL SET THAT ALLOWS FOR GREATER UNDERSTANDING ABOUT THE DEVELOPMENT PROCESS, WHAT DOES IT TAKE TO PRODUCE AFFORDABLE HOUSING UNITS, ABOUT THE RETROFIT AND REHAB PROCESS, ALSO, YOU KNOW, LOOKING MORE STRATEGICALLY AT POLICIES AND BEST PRACTICES ACROSS THE COUNTRY.

AND SO I THINK THAT WE -- WE SHARE IN -- IN THIS BELIEF THAT THERE IS -- THERE IS POTENTIAL THERE FOR OUR CITY TO TAKE ON A MUCH -- REALLY A BIGGER ROLE AND TO BE A LEADER AND TO BE AN INNOVATOR AS RELATES TO HOUSING.

SO MAYBE CHERYL CAN ADD TO THIS.

>> JUST A COUPLE OF THINGS THAT I WOULD ADD.

FIRST, WITH COUNCIL POLICY DIRECTION FOR THIS TO BE CONSIDERED IN THE BUDGET SIMILAR TO THE CONVERSATION WE HAD AT THE GOAL SETTING SESSION, THEN WE WILL WORK OVER THE SUMMER TO DEVELOP WHAT WE THINK CAN BE ACCOMPLISHED, AND YOU KNOW THAT I WORK WITH A SENSE OF URGENCY SO IT'S NOT TRYING TO DELAY TAKING ACTION, BUT RATHER TO DO WHAT WE THINK IS POSSIBLE.

AND I'VE TALKED WITH THE TASK FORCE MEMBERS THAT IT'S ONE THING TO HAVE A BIG AMOUNT OF MONEY OR BIG IDEAS, IT'S SOMETHING ELSE TO HAVE THE STRUCTURE IN PLACE AND I THINK YOUR MENTION OF THE BOND PROGRAM AND PRE-K 4 SA FOR THAT MATTER ARE GOOD EXAMPLES, BECAUSE IN 2005 -- AND REMEMBER THE HOUSING CRISIS WAS NOT IN THE -- THE STATISTICS WERE NOT THE SAME AS WHAT WE'RE TALKING ABOUT TODAY AND GENE AND LOURDES HAVE GONE THROUGH THAT.

SO THIS IS SOMETHING THAT'S EVOLVED OVER THE PAST DECADE, BUT IN 2005 ONE OF THE COUNCIL'S PRIORITIES WAS IMPROVING OUR INFRASTRUCTURE

[02:20:01]

PROGRAM.

THEY WANTED THE LARGEST BOND PROGRAM.

THEY THOUGHT -- WE THOUGHT WE COULD HANDLE, BUT THEY ALSO WANTED IT EXECUTED WITH QUALITY.

AND SO WE SPENT SOME TIME QUICKLY PUTTING TOGETHER THE ORGANIZATIONAL STRUCTURE THAT ALLOWED US TO DELIVER A BOND PROGRAM FOUR TIMES LARGER THAN THE CITY HAD EVER CONSIDERED, AND THAT TOOK SOME TIME, BUT WITHIN A YEAR WE HAD THAT IN PLACE AND TOOK TO THE VOTERS THAT $550 MILLION PROGRAM, EXECUTED ON THAT, AS WELL AS FINISHING PROJECTS FROM THE THREE PREVIOUS PROGRAMS, BEFORE MY TIME, THAT HAD NOT -- SOME OF WHICH HAD NOT BEEN STARTED.

AND I THINK WE'VE INSTITUTIONALIZED THAT OVER THE YEARS.

I THINK MANY OF OUR RESIDENTS TAKE FOR GRANTED THAT WE HAVE BIG BOND PROGRAMS NOW, 550, THEN 600 MILLION, NOW 850 MILLION, ALL VOTER APPROVED.

I WOULD USE THAT ANALOGY SIMILAR TO HOUSING WITH COUNCIL'S DIRECTION, WE NEED TO FIGURE OUT HOW WE -- HOW WE GO ABOUT THAT.

I DID NOT SAY TODAY, NOR WILL I SAY THAT I CAN BUDGET.

WE ALL KNOW THAT WE HAVE A FINITE AMOUNT OF MONEY, BUT WE WILL LOOK AT THESE RECOMMENDATIONS WITH THE TASK FORCE, P PRIORITIZE WHAT'S MOST IMPORTANT AND COME FORWARD WITH A RECOMMENDATION THAT WE THINK WE CAN NOT ONLY FUND BUT ALSO ACCOMPLISH.

SO, WE'LL BE WORKING THROUGH THE SUMMER ON DOING THAT.

>> THANK YOU FOR THAT, SHERYL.

I THINK YOU JUST REMINDED ME OF ANOTHER IMPORTANT PIECE THAT I'VE LEARNED IN GOING AFTER AMBITIONS PROJECTS, WHICH IS SOMETIMES -- EVEN WHEN YOUR EYES GET BIGGER THAN YOUR STOMACH, YOU HAVE TO REALIZE AND PULL BACK THAT, YOU KNOW, IF WE DID 20 MILLION OVER ONE YEAR, WOULD WE BE ABLE TO EXECUTE THAT AS WELL AS WE WOULD LIKE, AND I THINK AS WE OFFER AS PROPOSALS, I WOULD HAVE YOUR STAFF SORT OF REALLY NAIL DOWN SOME OF THE IMPORTANT -- OR LOURDES, I WOULD HAVE THE FOLKS WHO ARE OFFERING THE RECOMMENDATIONS REALLY NAIL DOWN ON THE 20 MILLION A YEAR.

BECAUSE I WOULD LIKE TO SEE US GET TO A POINT THAT COMFORTABLY PUTS US IN A POSITION TO RECOMMEND THAT AMOUNT OF MONEY YEAR AFTER YEAR, BECAUSE I BELIEVE IN THE THEORY OF WHAT CAN BE ACCOMPLISHED WITH THAT MUCH LONG-TERM FOR A POTENTIAL HOUSING CRISIS THAT'S LOOMING.

AND I THINK IT JUST -- TO GO BACK TO REITERATE THE POINT -- I WON'T HAVE ANYTHING ELSE AFTER THIS, MAYOR, IN TERMS OF QUESTIONS, BECAUSE I THINK THIS IS THE ONLY ONE I WANT TO FOCUS ON, BECAUSE I DON'T WANT TO MISS ON THIS, THE INSTITUTIONALIZING IT WITHIN THE CITY STAFF.

BECAUSE I'VE SEEN SO MANY GOOD EXAMPLES OF THIS TEAM BEING ABLE TO EXECUTE REALLY DIFFICULT CHALLENGES.

AND I'LL GIVE YOU ANOTHER QUICK EXAMPLE IN THE LAST YEAR WHEN WE NEEDED SOMEBODY AT THE AIRPORT TO REALLY RAMP UP OUR ABILITY, OUR MARKETING, OUR SHORT -- NON-STOPS, WE HAD CARLOS CONTRERAS COME IN AND DO A PHENOMENAL JOB AND STILL SEEING REALLY POSITIVE JOBS AT THE AIRPORT.

AND MAYBE THIS IS JUST A BIG PLUG FOR CARLOS CON CRAIRS WHO CAME IN AND PICKED -- CONTRERAS WHO PEPP HELPED US.

WHEN YOU MAKE SURE MANAGEMENT IS DOING EVERYTHING IT CAN TO BE RESPONSIBLE TO THE POLICY MAKERS, BE RESPONSIBLE TO THE COMMUNITY AND RESPONSIBLE TO A REALLY GREAT PRODUCT THAT IS GOING TO BENEFIT THE COMMUNITY.

SO MAYOR, I THINK I'LL LEAVE IT AT THAT AS BEING THE MOST IMPORTANT ONE, AND THAT I'D LIKE TO EMPHASIZE, BUT I DO BELIEVE A LOT OF THE OTHER RECOMMENDATIONS HERE SHOULDN'T BE REPEATED AGAIN IN TEN YEARS.

WE NEED TO DO SOMETHING WITH THEM.

THANK YOU.

>> THANK YOU.

>> MAYOR NIRENBERG: THANK YOU, COUNCILMAN SALDANA.

COUNCILMAN PELAEZ.

>> PELAEZ: FIRST OF ALL, I DO WANT TO START BY SAYING THANKS.

THIS IS A FANTASTIC PRESENTATION.

I CAN SEE THAT THERE WERE HUNDREDS AND HUNDREDS OF HOURS PUT INTO THIS AND THAT YOU WERE ALL GUIDED BY THE BEST OF INTENTIONS AND THAT YOU'RE DATA HUNGRY AND THIS WAS A DATA RICH PRESENTATION.

I DO WANT TO SAY THAT, YOU KNOW, WHAT I HEARD EARLIER WAS THAT THIS WAS A BIG SOCIAL REENGINEERING PLAN AND THAT THIS IS, YOU KNOW, REDISTRIBUTION OF WEALTH AND, YOU KNOW, ALL THOSE ARE CODE WORDS OR DOG WHISTLES FOR COMMIE PINKO LIVE.

SO ALLOW ME TO INTRODUCE YOU TO GENE DAWSON AND JIM BAILEY, WHO ARE VERY SUCCESSFUL CAPITALIST BUSINESSMEN HERE IN TOWN.

ONE OF YOU REPRESENTS A BANK, AND YOU DO MULTI-FAMILY HOUSING FOR PROFIT, LAST TIME I CHECKED.

AND YOU ARE ALSO IN THE FOR PROFIT INDUSTRY.

AND SO I THINK THAT IT'S IMPORTANT TO MENTION THAT THIS SEPT ISN'T JUST SOME SORT F PIE IN THE SKY INITIATIVE AND THAT WE HAD A BUNCH OF NAIVE IDEALISTS COME TO THE TABLE WHO, YOU KNOW, HAVE READ A FEW TEXTBOOKS, BUT YOU GUYS ARE ACTUALLY OUT

[02:25:02]

THERE, YOU KNOW, MAKING PAYROLL, MAKING MONEY AND TRYING TO FIGURE OUT HOW TO SOLVE A PROBLEM THAT IMPACTS NOT JUST SOME ABSTRACT GROUP OF PEOPLE BUT YOUR OWN EMPLOYEES, RIGHT? AND YOUR OWN CUSTOMERS.

AND SO THANK YOU FOR DOING THAT.

CAN WE LOOK AT SLIDE 25, PLEASE? AND, GENE, I NEED TO -- I NEED TO UNDERSTAND THIS A LITTLE BIT BETTER.

MAYBE YOU CAN HELP ME.

IF -- IN REAL SIMPLE STUPID FOR ME, WHY DID WE HAVE ALMOST NO BELOW 150 K HOMES PRODUCED IN 2017? WHY DO YOU THINK THAT IS?

>> THERE ARE TWO REASONS.

ONE IS SINCE ABOUT 2001 TWO THINGS HAPPENED? 2001.

ONE IS, YOU KNOW, WE HAD THE BIG HOUSING BOOM, AND THROUGH THAT COURSE OF TIME UNTIL TODAY, CONSTRUCTION, ACTUAL MATERIALS, LABOR, ET CETERA, INCREASED BY ABOUT 90%.

NOW, CONSTRUCTION AND LABOR IN A NEW HOME IS GOING TO BE ABOUT 55% OF THE COST OF THE HOUSE.

THE OTHER 45% IS THE COST OF THE LOT AND THE COST OF REGULATION AND THE COST OF THE MARKETING AND THE PROFIT AND EVERYTHING ELSE.

BUT WHEN YOU TAKE 55% OF THE COST OF A HOUSE AND INCREASE IT BY 90%, YOU'RE NOT GOING TO BE ABLE TO BUILD IN THAT PRICE RANGE AGAIN.

AND THEN AS COUNCILMAN BROCKHOUSE POINTED OUT, SINCE 2001 WE DID THE NEW UNIFIED DEVELOPMENT CODE, WHICH I CHAIRED SO I'M NOT GOING TO SAY IT WAS A BAD THING, BUT, YOU KNOW, THEN WE DID, YOU KNOW -- WE DID TRAFFIC.

WE'VE DONE THE TREE ORDINANCE FOUR TIMES.

WE DID DRAINAGE, AND, YOU KNOW, THAT'S ADDED BECAUSE OF CITY PRIORITIES ABOUT $25,000 TO EVERY NEW HOME-BUILT.

SO YOU HAD 90% CONSTRUCTION AND $25,000 IN NEW REGULATION.

THAT $25,000 DIDN'T HAPPEN, REALLY, IN 2001 BECAUSE WE HAVE, AS YOU GUYS ARE ALL FAMILIAR WITH, IS GRANDFATHERING, AND A LOT OF THE PROJECTS WERE ON THE BOARDS IN 2001 WERE GRANDFATHERED, AND THE FULL WEIGHT OF THAT REGULATION DIDN'T HIT UNTIL ABOUT 2010.

SO YOU HAVE THE COST OF CONSTRUCTION AND THEN YOU HAVE THE COST OF REGULATION.

>> WITH REGARD TO, YOU KNOW, THE COST OF REGULATION, I'M -- I WANT TO MAKE SURE YOU ALL UNDERSTAND THAT I AM ALARMED ALSO BY WHAT I HEAR BY YOUR COMPADRES IN THE INDUSTRY, AND I DO THINK THAT IF WE ARE GOING TO ACCOMPLISH THESE VERY AMBITIOUS GOALS, THAT WE NEED TO REALLY TAKE A LOOK AT WHAT IT IS THE CITY IS DOING TO STAND IN THE WAY OF BUILDERS AND DEVELOPERS, AND WE NEED TO UNDERSTAND HOW THOSE REGULATIONS STAND IN THE WAY OF THE BUILDERS AND DEVELOPERS.

AND SO WE'RE GOING TO BE RELYING ON YOU AND CASABA AND ALL THE OTHER FOLKS TO INFORM US, BECAUSE I AIN'T NEVER BUILT A HOUSE AND I KNOW CREWSHON HAS NEVER -- WE'RE NOT SUBJECT MATTER EXPERTS.

>> [INAUDIBLE].

>> DON'T CONTRADICT ME IN FRONT OF THE KIDS.

[LAUGHTER] SO -- AND I DO UNDERSTAND THAT REGULATIONS -- AND I THINK YOU'LL AGREE WITH ME, THAT REGULATIONS ARE THERE TO PROTECT CONSUMERS AND TO PROTECT, YOU KNOW, WORKERS FROM, YOU KNOW, SAFETY ISSUES AND ALL THAT, BUT AT THE SAME TIME I DON'T THINK THERE'S ANYBODY WHO WILL BE SHOCKED TO FIND OUT THAT THEY ALSO HAVE THE UNINTENDED CONSEQUENCE OF IMPEDING OR DEMOTIVATING INVESTMENT, RIGHT? BECAUSE AT THE END OF THE DAY THEY DO CUT INTO THE BOTTOM LINE.

AND THAT'S -- THAT'S ME BEING CAPTAIN OBVIOUS, RIGHT? BUT, YOU KNOW, AS AN EXAMPLE, I WILL CAUTION YOU ALL TO REMEMBER, AND IT WASN'T TOO LONG AGO THAT WE HAD SOMETHING CALLED THE CITY SOUTH MANAGEMENT AUTHORITY, RIGHT? AND YOU MADE A FACE.

I SAW IT.

[LAUGHTER] THAT WAS -- YOU KNOW, THAT WAS WELL INTENTIONED, AND IT WAS -- EVERYBODY HAD THE RIGHT MOTIVATION BEHIND BEING ONE OF THE BIGGEST FAILURES, YOU KNOW, AS FAR AS DEVELOPMENT, ENCOURAGEMENT.

I MEAN, IT SERVED TO BE THE OPPOSITE, RIGHT? IT WAS A BIG FIRE BLANK IN OVER DEVELOPMENT ON THE SOUTH SIDE THAT WE'RE STILL SUFFERING FROM AFTER MANY YEARS.

SO I THINK THAT THAT'S A CAUTIONARY TALE IN WHAT HAPPENS WHEN WE DON'T INCLUDE PEOPLE LIKE NOAH AND JIM AND GENE, YOU KNOW, IN CONVERSATIONS LIKE THIS TO HELP US INFORM, YOU KNOW, DECISION-MAKING, BECAUSE IF WE DID HAVE PEOPLE OUT THERE WHO HAD JUST READ A BUNCH OF GREAT BOOKS ABOUT NEW URBANNANNISM AND GREAT BOOKS ABOUT HOUSING THEORY AND ALL THAT, AND A FEW PROFESSORS, WHO I LOVE PROFESSORS, AND I THINK THEY'RE VERY SMART, BUT I THINK THAT WE WOULD BE REPEATING THE MISTAKES WE MADE BACK IN THE CSMA DAYS.

SO I REALLY LOVE THAT YOUR FINGERPRINTS ARE ALL OVER THIS REPORT.

SO WITH THAT I'LL TELL THAT YOU I'M WORRIED -- AND I EXPRESSED THIS WORRY AT OUR

[02:30:02]

GOAL SETTING COMMITTEE, SHERYL, AND I'M GLAD TO SEE THAT IT MADE IT IN THE REPORT THAT JOE SENT OUT, AND THAT IS, YOU KNOW, THERE'S ONE OF THE COSTS OF LIVING IN SAN ANTONIO FOR A LOT OF PARTICULARLY ELDERLY PEOPLE IN MY DISTRICT AND IN ALL OF YOUR DISTRICTS, IS, YOU KNOW, THE COST THAT COMES WITH BEING A VICTIM OF BAD ACTORS, RIGHT? SO PREDATORY LENDERS, YOU KNOW, CROOKS AND CHARLATANS THAT WILL TAKE YOUR MONEY, THE REVERSE MORTGAGE INDUSTRY, SHAM INSURANCE POLICIES THAT ARE SOLD TO UNSUSPECTING PEOPLE, CONTRACTORS IS THAT TAKE YOUR MONEY AND DISAPPEAR AND NEVER COME BACK.

AND WE'RE ALSO OUR OWN WORST ENEMIES.

THERE'S A LOT OF FOLKS OUT THERE THAT DON'T KNOW HOW TO DO HOME UPKEEP, SO THEIR HOMES DETERIORATE FASTER THAN THEIR NEIGHBOR, WHO DOES KNOW, RIGHT? AND THEY DON'T KNOW HOW TO PROTEST THEIR TAXES, RIGHT? AND THEY DON'T KNOW HOW TO MAKE A CLAIM WITH INSURANCE.

AND SO WHAT WE DO REALLY WELL AT THE CITY IS, YOU KNOW, WE TELL TEAMS, THIS IS HOW YOU PROTECT YOURSELF FROM -- YOU KNOW, FROM NOT BEING PREGNANT AND THIS IS HOW YOU DON'T CATCH SYPHILIS, AND WE SAY IF YOU EAT TOO MANY TACOS YOU'LL GET DIABETES, AND WE DO DIABETES EDUCATION, BUT WE DON'T DO MUCH ABOUT YOU KNOW YOUR RIGHTS AND HELPING PEOPLE TO GO OUT AND ENFORCE THOSE RIGHTS, AND PARTICULARLY THE MOST VULNERABLE POPULATION, WHO WE'RE TALKING ABOUT IN THIS REPORT, RIGHT? SO I DID SPEAK WITH MARISA ABOUT, YOU KNOW, HOW THAT -- MARISA BONO ABOUT HOW WE CAN WEAVE IN, SO I WANT TO PUT YOU ALL ON NOTICE THAT THAT'S WHAT I'LL BE PUSHING THROUGHOUT THIS PROCESS IS THAT WE MAKE SURE THAT WE ALSO TALK ABOUT CONSUMER PROTECTION AS A WAY OF PRESERVING VALUE, RIGHT? AND AS A WAY OF ADDRESSING THE COST BURDEN.

SO THE OTHER THING I WANTED TO TALK ABOUT WITH EUGENE IS SLIDE 22.

CAN SOMEBODY PUT THAT UP, PLEASE? SO I WANT TO GET THIS STRAIGHT.

14,900 JOBS PER YEAR, 25,000 PEOPLE, YOU KNOW, ARE SHOWING UP PER YEAR, AND WE'RE CREATING, YOU KNOW, MORE JOBS, RIGHT, THAN WE ARE HOUSING.

SO, SHERYL, YOU TURNED TO ME AND YOU WHISPERED SOMETHING, BUT I REALLY WANT TO -- FROM THE PERSPECTIVE OF ECONOMIC DEVELOPMENT, WHAT DOES THIS SAY ABOUT WHAT WE'RE DOING?

>> SCULLEY: I THINK YOU SAID IT TOO WHERE OTHERS HAVE SAID IT.

WE'VE DONE A GREAT JOB IN TERMS OF HELPING TO GROW BUSINESS IN THE COMMUNITY AS WELL AS ATTRACT BUSINESS TO THE COMMUNITY, AND WE HAVE WORK TO DO WITH REGARD TO HOUSING.

SO THE GOOD NEWS -- THERE'S GOOD NEWS AND BAD NEWS IN THAT -- IN THAT RATIO, AND WE HAVE MORE WORK TO DO AND NEED TO BALANCE THAT OUT.

>> PELAEZ: SO WHEN MY FRIEND, MR. BROCKHOUSE, SAYS PEOPLE JUST DON'T WANT TO COME HERE AND THEY DON'T WANT TO DO BUSINESS WITH US, I DON'T SEE NUMBERS TO PROVE THAT OUT, RIGHT? IN FACT, I SEE THE NUMBERS THAT ARE COMPLETELY OPPOSITE, IS THAT PEOPLE ARE RUSHING HERE, YOU KNOW, AND COMPANIES ARE COMING HERE, YOU KNOW, VERY, VERY AGGRESSIVELY, WHERE WE'VE GOT A PROBLEM IS WHAT THEY'RE THROWING AT US, WE'RE HAVING A PROBLEM CATCHING.

IS THAT ABOUT RIGHT? OKAY.

LASTLY I'LL SAY THAT, YOU KNOW, I USED TO REPRESENT HUNDREDS OF HOMEOWNERS ASSOCIATIONS AS THEIR LAWYER, SO I REALLY DO VIEW A CITY AS A MUCH LARGER HOMEOWNERS ASSOCIATION, AND SO IF YOU THINK ABOUT THE MANDATE OF A HOMEOWNERS ASSOCIATION, IT'S TO, YOU KNOW, PROVIDE SECURITY, IT'S TO TAKE CARE OF, YOU KNOW, STREETS, PROVIDE LIGHTING, YOU KNOW, MAINTENANCE OF COMMON ELEMENTS, AND MOST OF ALL PRESERVATION OF PROPERTY VALUES.

I CAN'T THINK OF ANYTHING MORE IMPORTANT THAT WE'RE GOING TO BE DOING AS THE BIG HOA FOR SAN ANTONIO, RIGHT, THAN THINGS LIKE SIDEWALKS.

WE ALL KNOW THAT HOUSES THAT HAVE SIDEWALKS IN FRONT OF THEM, YOU KNOW, THEIR VALUE IS MUCH MORE, THOUSANDS OF DOLLARS MORE THAN HOUSES THAT DON'T HAVE SIDEWALKS IN FRONT OF THEM.

HOUSES THAT HAVE NEIGHBORHOODS WITH, YOU KNOW, LIGHTING THAT DOES WHAT LIGHTING IS SUPPOSED TO DO ARE NEIGHBORHOODS THAT HAVE HIGHER VALUES.

NEIGHBORHOODS THAT HAVE PARKS NEARBY, NEIGHBORHOODS THAT HAVE COMPLETE STREETS, AND MOST OF ALL THIS ONE ROOF PROGRAM IS REALLY IMPORTANT, AND SO HIGH FIVE FROM YOUR COUNCILMAN IN DISTRICT 8 FOR INCLUDING THAT AND ACTUALLY MENTIONING IT AS ONE OF THE -- YOU KNOW, THE PRIORITIES, AND THAT'S THE KIND OF INNOVATION THAT'S COMING FROM ROBERTO TREVINO'S OFFICE.

BUT WE'RE -- I DO WANT US TO DRILL DOWN AND FIGURE OUT WHAT WE CAN DO NOT JUST BY BUILDING MORE HOMES AND HELPING PEOPLE BUY HOMES BUT REALLY THINK ABOUT OUR ROLE AS THE PROTECTOR OF PROPERTY VALUES AS WELL BY WAY OF OUR CORE BUSINESSES.

AND SO THOSE ARE MORE COMMENTS THAN QUESTIONS, BUT THANK YOU, MAYOR.

>> MAYOR NIRENBERG: THANK YOU, COUNCILMAN PELAEZ.

COUNCILMAN COURAGE.

>> COURAGE: THANK YOU, MAYOR, FOR ALLOWING ME TO SPEAK AFTER COUNCILMAN PELAEZ HAS POSTED -- AFTER COUNCILMAN BROCKHOUSE, WHO IS SCARING THE BEJESUS OUT OF ALL OF US.

[LAUGHTER] BUT I THINK THAT THIS IS A GREAT PRESENTATION.

IT REALLY HELPS US GET INSIGHT INTO WHAT SHOULD BE THE -- THE POLICY DIRECTION THAT WE HAVE THIS CITY GO

[02:35:01]

IN.

BY THE WAY, IF MY CONSTITUENTS FROM DISTRICT 9 ARE STILL WATCHING, I JUST WANT YOU TO KNOW THAT I'M NOT GOING TO BE SUPPORTING ANY BILLION DOLLAR ADDITIONAL GENERAL FUND EXPENDITURES IN THE NEXT BUDGET SESSION, SO YOU CAN REST ASSURED OF THAT.

HOWEVER, IF WE CAN FIND A WAY TO INVEST $20 MILLION INTO THIS HOUSING EFFORT, I'D JUST LIKE TO REMIND PEOPLE ABOUT THE BENEFIT OF THAT KIND OF INVESTMENT, BECAUSE AS YOU HEARD, THE IDEA IS TO LEVERAGE THAT, TO BRING IN ADDITIONAL INVESTMENTS.

AND WHAT DOES IT MEAN WHEN WE SPEND MONEY ON HOUSING? THAT MEANS ECONOMIC DEVELOPMENT.

THAT MEANS PEOPLE DOING JOBS, WHETHER IT'S REHABBING HOMES THAT ARE EXISTING OR WHETHER IT'S BUILDING NEW HOMES, WHETHER IT'S THE SUPPLIERS OF THOSE PRODUCTS, WHETHER IT'S THOSE FAMILIES WHO GET A PAYCHECK TO TAKE HOME, WHO THEN SPEND THAT MONEY AGAIN WITHIN OUR ECONOMY, WHICH HELPS CREATE OTHER JOBS THROUGHOUT THE CITY.

THE SPENDING OF GOVERNMENT FUNDS IN AREAS LIKE THIS REALLY HELP US PERPETUATE A SUCCESSFUL ECONOMY AND A DYNAMIC ECONOMY, SO IT SHOULDN'T BE SOMETHING THAT ANY TAXPAYER SHOULD BE SCARED TO DEATH ABOUT, BECAUSE IT'S BEING USED FOR A VERY PRODUCTIVE PURPOSE THAT HELPS IMPROVE THE QUALITY OF LIFE FOR EVERYBODY IN THE CITY ONE WAY OR ANOTHER.

AND I BELIEVE THAT'S OUR JOB AS A CITY COUNCIL PERSON, TO MAKE THOSE KINDS OF DECISIONS ON THE GRAND SCALE FOR THE ENTIRE CITY, THAT IS GOING TO IN ONE WAY OR ANOTHER BENEFIT EVERYBODY IN THE CITY BECAUSE WE'RE WORKING ON A SIGNIFICANT PROBLEM THAT IS FACING THIS COMMUNITY.

SO I HAVE NO PROBLEM WITH THE PRESENTATION THAT WAS MADE.

I ENCOURAGE PEOPLE IN THE COMMUNITY TO ASK US QUESTIONS HERE IN THE COUNCIL.

LET US KNOW WHAT YOUR INTERESTS ARE, WHAT YOUR CONCERNS ARE, EVEN IF YOU HAVE DISAGREEMENT WITH SOME OF WHAT YOU'RE HEARING.

BUT FIND OUT WHAT IT REALLY MEANS, WHAT IT REALLY STANDS FOR, HOW IT CAN REALLY BENEFIT THE COMMUNITY, BENEFIT EVERYBODY IN EVERY PART OF THE CITY BY WORKING ON THIS GIGANTIC PROBLEM THAT WE REALLY NEED TO TACKLE.

ANOTHER POINT I SAW HERE THAT I HAVE A CONCERN, OR I GUESS A COMMENT I WANT TO MAKE ABOUT IT, AND THAT IS, YOU KNOW, WHEN WE FIND THAT WE'RE NOT FINDING THERE'S AFFORDABLE HOUSING FOR A LOT OF PEOPLE, I BELIEVE THAT PART OF THAT IS BECAUSE WE'RE NOT DEVELOPING THAT AFFORDABLE HOUSING.

I THINK THAT MANY PEOPLE ARE LOOKING AT THE PROFIT MARGIN OF BUILDING HOMES AT 250,000 TO A HALF A MILLION DOLLARS AND NOT WILLING TO LOOK AT THE SMALLER PROFIT MARGIN AT 150 TO $175,000.

I HEARD WHAT YOU JUST SAID, GENE, BUT I HAVE FRIENDS WHO DO BUILD WHO SAID THEY CAN BUILD A 12, 13, 14, 1500-SQUARE-FOOT HOUSE FOR $150,000 AND MAKE IT AFFORDABLE FOR PEOPLE IN THIS COMMUNITY.

IT MAY NOT HAVE MARBLE OR GRANITE OR, YOU KNOW, THE HIGHEST GRADE OF CARPETING OR THE NEWEST APPLIANCES BUILT IN, BUT IT'S LIVABLE.

IT'S AFFORDABLE, IT'S SAFE, IT'S COMFORTABLE.

IT ALLOWS PEOPLE TO FEEL PRIDE IN PROPERTY OWNERSHIP, EVEN BUILDING HOMES AT THAT LEVEL, BUT I CAN SEE THAT BUILDERS NEED MORE INCENTIVE TO GO AHEAD AND DO THAT, AND I THINK THAT SHOULD BE PART OF WHAT THIS PROGRAM DEVELOPS, IS INCENTIVES FOR BUILDING MODESTLY PRICED HOMES, BUT IT ISN'T JUST HOMES, AND AS YOU HEARD LOURDES ALLUDE -- MENTION A WHILE AGO, WE CAN'T BUILD OUR WAY OUT OF THIS PROBLEM WITH SINGLE-FAMILY HOMES, AND WE PROBABLY CAN'T BUILD OUR WAY OUT OF IT WITH MULTI-FAMILY HOMES, ALTHOUGH THAT IS A SOLUTION.

I AGREE UP IN APARTMENTS MOST OF MY -- MY YOUTH, AND IF THEY'RE WELL MAINTAINED, IF THEY'RE SAFE, IF THEY'RE AFFORDABLE, IF THEY'RE COMFORTABLE, THEN THAT'S -- THERE'S PRIDE OF RESIDENCE, LIVING IN A QUALITY MULTI-FAMILY APARTMENT.

BUT THEN ALSO, AS WE SAID, THERE ARE TENS OF THOUSANDS OF PEOPLE LIVING IN HOMES RIGHT NOW THAT WOULD LOVE TO LIVE IN THOSE HOMES THE REST OF THEIR LIVES OR 10 OR 20 MORE YEARS OR PASS IT ON TO THEIR CHILDREN, BUT THEY NEED HELP.

THEY NEED HELP IN RENOVATION AND RETAINING THAT HOME SO IT MAINTAINS SAFETY AND QUALITY AND COMFORT.

AND I THINK THAT'S ANOTHER ASPECT OF WHAT THIS PROGRAM IS TALKING ABOUT AND WHAT THIS PROGRAM IS OFFERING, AND PART OF THAT $20 MILLION ADL INVESTMENT WE'RE LOOKING AT RIGHT NOW WOULD GET US ON THE ROAD TO HELPING ALL THREE ASPECTS OF SAFE AND SOUND AND SECURE LIVING IN OUR CITY.

SO THOSE ARE SOME OF THE THINGS THAT I LOOK FORWARD TO SEEING COME FORWARD TO US AS A COUNCIL AND HAVE US ACT ON.

THERE WAS ONE OTHER THING I

[02:40:01]

HEARD THAT I HAD A QUESTION ABOUT, AND THAT WAS CHARTER REVISION, AND I WAS WONDERING IF YOU COULD EXPLAIN WHAT THE CHARTER REVISION IS THAT YOU MIGHT RECOMMEND TO THIS COUNCIL IN ORDER TO ENABLE US TO BECOME A GREATER PARTNER IN HOUSING DEVELOPMENT.

>> YES.

YES.

>> SCULLEY: THE SIMPLE VERSION OF THAT IS THAT THE CHARTER TODAY DOES NOT ALLOW US TO SPEND MONEY ON HOUSING THROUGH OUR BOND PROGRAM.

YOU MAY RECALL THAT WE HAVE IDENTIFIED AND THE VOTERS APPROVED 20 MILLION IN THE 2017 BOND PROGRAM TO SUPPORT HOUSING.

THAT IS, WE CAN ACQUIRE PROPERTY, DILAPIDATED BUILDINGS, MAKE IT SITE-READY, COMPLETE INFRASTRUCTURE, STREETS AND SIDEWALKS, DRAINAGE, UTILITY CONNECTIONS, TO MAKE THE SITE READY FOR A PRIVATE SECTOR MARKET RATE OR NONPROFIT HOUSING DEVELOPER THEN TO DEVELOP HOUSING.

THAT'S HOW WE DEVELOPED TODAY'S PROGRAM.

BUT THERE HAS BEEN DISCUSSION AMONG COUNCIL MEMBERS AS WELL AS THE CHARTER COMMISSION TO CONSIDER A CHARTER AMENDMENT THAT WOULD ALLOW THE CITY TO ISSUE DEBT FOR HOUSING PROSPECTIVELY.

>> SO BECAUSE IT'S NOT IN THE CHARTER WE WOULD HAVE TO ADD THAT TO THE CHARTER TO BE ABLE TO DO THAT -- SKULL IT'S ACTUALLY PROHIBITED TODAY BUT IT COULD BE CHANGED.

>> COURAGE: OH, IT IS PROHIBITED.

>> SCULLEY: YEAH.

IT COULD BE CHANGED.

>> COURAGE: THANK YOU.

>> MAYOR NIRENBERG: THANK YOU, COUNCILMAN COURAGE.

COUNCILWOMAN SANDOVAL.

>> SANDOVAL: THANK YOU, MAYOR.

SO MANY THINGS HAVE HAPPENED SINCE I SIGNED UP TO SPEAK.

[LAUGHTER] SO MANY THINGS HAVE BEEN SAID, THAT I'LL TRY TO KEEP IT BRIEF.

I KNOW WE'VE GOT TO GET GOING.

FIRST OF ALL, A HUGE THANK YOU TO -- TO THE MAYOR AND YOUR STAFF FOR -- FOR STARTING THIS PROCESS AND LEADING IT FORWARD AND BRINGING US TO WHERE WE ARE TODAY, TO THIS DISCUSSION.

AND JUST AS BIG A THANK YOU TO EACH MEMBER OF THE TASK FORCE.

YOU KNOW, THEY SAY IF YOU WANT TO GO FAST, GO ALONE, AND IF YOU WANT TO GO FAR, GO TOGETHER.

AND, MAYOR, I THINK YOUR SELECTION IN THE MEMBERS OF THIS TASK FORCE HAVE REALLY -- REALLY EXEMPLIFY WHAT IT MEANS TO GO TOGETHER BECAUSE YOU HAVE SUCH A BROAD RANGE OF EXPERTISE, AND YOU ALSO HAVE PEOPLE WITH TREMENDOUS STANDING IN VARIOUS PARTS OF OUR COMMUNITY, AND I JUST CAN'T IMAGINE A DIFFERENT COMBINATION OF PEOPLE THAT COULD HAVE BROUGHT US HERE TODAY WITH SUCH STRONG RECOMMENDATIONS AND WITH SUCH CONVICTION IN THE WORK THAT YOU'VE DONE AND THE RECOMMENDATIONS THAT YOU BRING FORWARD.

SO THANK YOU.

I'M EXTREMELY IMPRESSED WITH YOUR PRESENTATION.

SO I THINK -- I DO HAVE TO ADDRESS SOME OF THE COMMENTS THAT WERE SAID EARLIER BY THE COUNCILMAN IN DISTRICT 6, LEST ANYONE BELIEVE THAT I AGREE WITH HIM.

[LAUGHTER] JUST BY FORMING THIS TASK FORCE, MAYOR AND COLLEAGUES, THE PREMISE IS THAT WE DO HAVE A PROBLEM, RIGHT? AND THAT AS OUR CITY HAS SEEN ECONOMIC AND JOB GROWTH AND THE SUCCESS -- SORRY, I HAVE TO WAIT FOR THAT TO PASS.

I'M TALKING ABOUT THE SIREN.

[CHUCKLE] SO JUST AS WE'VE SEEN ECONOMIC JOB GROWTH AND SUCCESS, AS YOU MENTIONED IN YOUR PRESENTATION, BUT NOT EVERYONE HAS SEEN THE BENEFITS, AND, IN FACT, THE IMPACTS HAVE REALLY BEEN SQUEEZING OUT -- SQUEEZING SOME OF OUR RESIDENTS HERE AND MAKING LIFE HARDER FOR SOME OF OUR LONG-TIME RESIDENTS, AND IF YOU TOLD ME THAT IT WASN'T MY PROBLEM TO SEE PEOPLE IN SOME KIND OF NEED AND TO HELP THEM, I JUST THINK NONE OF US WOULD BE HERE SITTING AT THIS TABLE IF THAT'S WHAT WE REALLY BELIEVED.

AND I THINK IT WOULD BE -- SORRY, I'M GETTING EMOTIONAL, IT WOULD BE DISCOMPASSIONATE TO PRETEND THAT THERE IS NO PROBLEM.

SORRY -- IN OUR COMMUNITY.

SO -- I DID NOT EXPECT THAT TO HAPPEN.

>> AMEN!

>> AMEN.

>> [INAUDIBLE]

>> SALDANA: I'M GLAD -- I'M GLAD --

>> [INAUDIBLE]

>> SALDANA: YOU'RE WELCOME.

THANK YOU.

SO I THINK IT'S --

>> SANDOVAL: YOU'RE WELCOME.

THANK YOU.

IT IS OUR JOB AS LEADERS TO ASK OURSELVES, HOW CAN WE HELP, WHETHER IT'S BY SPENDING $10 MILLION OR BY OTHER MEANS, RIGHT? SO I DO THINK THAT IS OUR JOB.

SO I DO HAVE -- SORRY, NOW I'M OFF TRACK HERE.

SO I DO HAVE A COUPLE OF QUESTIONS ABOUT SOME OF THE RECOMMENDATIONS YOU HAVE.

I DO -- I THINK IT'S GREAT THAT YOU PUT THE BUY RIGHT ZONING UP FRONT.

YOU LET US KNOW THIS MIGHT

[02:45:02]

BE COMING.

IT'S GOING TO BE EXTREMELY CONTROVERSIAL, BUT I THINK SOMETHING THAT WAS MENTIONED WHEN YOU DISCUSSED IT WAS, REALLY -- REALLY IMPORTANT.

YOU SAID IT'S GOING TO HAVE TO BE THROUGH A PUBLIC PROCESS, AND I THINK IT'S GREAT TO DO THAT UP FRONT BEFORE PEOPLE'S EMOTIONS REALLY GET IN THE WAY ONCE YOU'VE ALREADY GOT A PROJECT DEFINED AND IT BECOMES SO MUCH HARDER TO GO THROUGH A PROCESS LIKE THAT.

SO YOU IDENTIFIED THIS ZONING CHANGE AS ONE OF THE CHALLENGES TO DEVELOPMENT.

WHAT ARE SOME OF THE OTHER BIGGEST CHALLENGES THAT WE MIGHT BE LOOKING AT AS WE GO FORWARD WITH THAT?

>> YES.

SO I WANTED TO ACKNOWLEDGE, YOU KNOW, THE -- I MENTIONED IN MY OPENING REMARKS THAT THE CHARGE THAT THE MAYOR SET OUT FOR US WAS NOT AN EASY TASK.

HE ASKED US TO BE COMPREHENSIVE AND HE ASKED US TO BE COMPASSIONATE, AND COMPASSIONATE IS HAVING EMPATHY AND UNDERSTANDING THE SITUATION OF OUR NEIGHBORS.

AND SO I -- I APPRECIATE YOUR -- YOUR COMPASSION, COUNCILWOMAN, BECAUSE I THINK THROUGHOUT THE COURSE OF THIS TEN MONTHS EACH OF US AT SOME POINT OR ANOTHER GOT EMOTIONAL, GOT UPSET, AND, YOU KNOW, FELT THE RESPONSIBILITY TO DO SOMETHING.

AND, YOU KNOW, WE DIDN'T ALWAYS AGREE ON EVERYTHING, AND, IN FACT, THE [INAUDIBLE] RIDE WAS A VERY CONTROVERSIAL ISSUES, BUT WE TRIED OUR BEST TO NOT LOSE SIGHT OF WHY WE WERE DOING THIS.

WHY ARE WE DOING THIS? WE WE'RE DOING THIS BECAUSE WE REALLY BELIEVE WE HAVE TO EXPAND HOUSING OPPORTUNITY AND HOUSING OPTIONS, BUT WE ALSO BELIEVE THAT IT'S IMPORTANT FOR PEOPLE TO BE INCLUDED IN THOSE DECISIONS.

AND SO I THINK AT SOME POINT, YOU KNOW, WE CAME UP WITH A MODEL THAT ALLOWED US TO BE ABLE TO DO BOTH.

I THINK SOME OF THE OTHER, YOU KNOW, CHALLENGES BEYOND, YOU KNOW -- SOME OF THE OTHER CHALLENGES THAT AFFECT THE DEVELOPMENT OF HOUSING, OR AFFORDABLE HOUSING, AND, YOU KNOW, WE SPEAK TO THIS THROUGH THE RECOMMENDATION ABOUT EDUCATION AND AWARENESS, IS THAT, YOU KNOW, I THINK THAT THERE IS STILL A LOT OF MISINFORMATION ABOUT AFFORDABLE HOUSING OR WHAT HOUSING AFFORDABILITY IS.

WHO IS IT FOR? WHO ARE THESE PEOPLE? WHAT ARE THEY GOING TO DO TO THE NEIGHBORHOOD? AND THIS IS NOT JUST IN SAN ANTONIO.

THIS IS ACROSS THE COUNTRY.

SO I THINK ONE OF THE THINGS THAT IS IMPORTANT FOR US TO DO AS A CITY, AND, YOU KNOW, OF COURSE WITH OUR PARTNERS AND NONPROFIT, YOU KNOW, HOUSING AGENCIES, WITH, YOU KNOW, SOME OF THE SOCIAL SERVICE AGENCIES, IS TO ELEVATE THE CONVERSATION ABOUT HOUSING AND REALLY TO PUT A FACE TO THE [INAUDIBLE], TO THE INDIVIDUALS, TO THE CHILDREN.

I HAD AN OPPORTUNITY TO GO OUT TWO WEEKS AGO TO -- TO A TOUR OF ONE OF THE PROSPERA AFFORDABLE HOUSING PROPERTIES, AND I WAS VERY IMPRESSED BY THE WAY THEY -- BY THE WAY THAT THEY TOLD THE STORY ABOUT HOUSING, BY HOW WE WERE INTRODUCED TO THE RESIDENTS THAT LIVE IN, YOU KNOW, THOSE PARTICULAR HOUSING COMMUNITIES.

SO I THINK THAT, YOU KNOW, SOME OF THAT IS ALREADY HAPPENING AT A SMALLER SCALE, BUT I THINK WE COULD DO MORE WITH -- YOU KNOW, THROUGH OUR COORDINATED HOUSING SYSTEM.

>> SANDOVAL: SO IN TERMS OF EDUCATION, RED REDUCING [INAUDIBLE] AROUND WHAT AFFORDABLE HOUSING IS.

>> RIGHT.

>> SANDOVAL: I HAVE SEEN THAT AMONG SOME RESIDENCES.

I THINK THE IDEA OF AFFORDABLE HOUSING IS PUBLIC HOUSING, SOMETHING THAT THEY HAVE STARTED IN THE 1940S AND REALLY TODAY WE ARE IN A VERY DIFFERENT PLACE WHEN WE TALK ABOUT AFFORDABLE HOUSING.

>> RIGHT.

>> SANDOVAL: I ALSO WANT TO REALLY THANK YOU FOR PUTTING FORWARD SOME OF THOSE VERY COMPLICATED GRAPHS, THE POLAR GRAPHS THAT YOU HAD IN THAT -- THE SEMI-CIRCLE THERE.

>> THE ECONOMIC PLAN.

>> SANDOVAL: IT'S HARD TO PROCESS ALL THAT BUT GRAPHICALLY IT'S EXTREMELY HE WILELEGANT, BUT WHAT I THINKT HIGHLIGHTS IS WE WANT TO BE MORE SOPHISTICATED WHEN WE TALK ABOUT TAX RELIEF THAN SOMETHING THAT'S JUST BLANKET, BLANKET ACROSS EVERYONE, BECAUSE THERE ARE DIFFERENT NEEDS AT DIFFERENT AMI LEVELS.

SO THANK YOU FOR HIGHLIGHTING THAT.

AND THEN JUST THE LAST QUESTION I HAD IS, I NOTICE UNDER DEVELOP A COORDINATED SYSTEM, YOU TALK ABOUT -- I MEAN, YOU DID MENTION 18 NEW POSITIONS, BUT I NOTICE IT SAYS RESOURCE AND STAFF NEIGHBORHOOD HOUSING SERVICES.

IT DOESN'T SAY HIRE NEW PEOPLE.

SO COULD YOU EXPLAIN WHAT YOU MEAN BY THAT?

>> YES.

SO WE ARE RECOMMENDING THAT WE -- THAT THE CITY LOOK AT EXPANDING OR INCREASING THE RESOURCES DEDICATED TO THE NEIGHBORHOOD AND HOUSING

[02:50:02]

DEPARTMENT, BUT ASKING THE CITY -- THE CITY MANAGER MENTIONED, THIS IS REALLY HER RESPONSIBILITY, RIGHT, AND SO WE ARE, YOU KNOW, RECOMMENDING THAT AS WE LOOK AT BUILDING CAPACITY, THAT THERE BE AN OPPORTUNITY TO BE ABLE TO EITHER REASSIGN, EXPAND, CREATE, BUT, YOU KNOW, WE DIDN'T GO INTO THAT LEVEL OF DETAIL.

WE DO LOOK FORWARD TO -- TO HAVING MAYBE FURTHER CONVERSATION WITH THE CITY MANAGER ON THIS.

>> SCULLEY: YEAH, THE ONLY THING I'D ADD IS THAT IT COULD BE A COMBINATION OF REASSIGNMENT.

LET'S SAY PERHAPS NOT DOING SOMETHING THAT'S OF A LOWER PRIORITY AND ASSESSING TALENT THROUGHOUT THE ORGANIZATION AND REASSIGNING STAFF.

WE'VE DONE THAT AS PRIORITIES HAVE CHANGED.

REPRIORITIZE WHAT -- WHAT WE ARE DOING.

SO WE'LL BE STUDYING THAT WITH OUR BUDGET TEAM THIS SUMMER TO MAKE RECOMMENDATIONS TO THE COUNCIL.

>> SANDOVAL: IS THERE A SPECIFIC SKILL SET THAT WE'LL NEED TO LOOK FOR, AND, I MEAN, WILL WE HAVE PEOPLE WITH THAT SKILL ALREADY OR --

>> SCULLEY: PERHAPS WE MAY IN SOME AREAS, BUT THERE MAY BE SKILL SETS AND TALENTS FROM -- FROM THE COMMUNITY OR PERHAPS AT A NATIONAL LEVEL.

BUT THAT'S YET TO BE STUDIED, AND SO WE'LL BE SORTING THROUGH THE STAFF RECOMMENDATIONS THIS SUMMER AND MAKING SOME RECOMMENDATIONS TO COUNCIL ON THE BUDGET.

I DON'T WANT TO LEAVE ANYONE WITH THE IMPRESSION THAT WE'RE GOING TO GO OUT AND ADD 18 NEW PEOPLE THAT AREN'T WITHIN THE CITY.

WE'LL HAVE TO DO THAT METHODICALLY, BECAUSE RIGHT CANDID LID I'M N -- CANDIDLY I'M NOT SURE THE TALENT IS OUT THERE AND NEEDS TO BE HIRED, QUITE HONESTLY.

I THINK THERE'S SOME TALENT THAT NEEDS TO BE DEVELOPED.

I BELIEVE THIS WILL BE A PHASED APPROACH OVER THE NEXT COUPLE YEARS.

>> COUNCILMAN, LET ME JUST ADD THAT, YOU KNOW, WHAT WE DID AS A TASK FORCE, WE HAD COMPLETE SUPPORT AT EVERY MEETING BY CITY STAFF [INAUDIBLE] AND PETER, AND SO AT SEVERAL OF OUR MEETINGS WE SAID THIS IS WHAT WE WANT TO ACCOMPLISH, THESE ARE THE AREAS WE WANT TO IMPACT, THIS IS HOW WE WANT TO COORDINATE OUR SYSTEM.

WE SAID IF WE DO THIS HOW MANY PEOPLE DO YOU NEED HERE, HOW MANY MORE DO YOU NEED HERE, HOW MANY MORE DO YOU NEED HERE? SO THE 18 NUMBER IS NOT AN IMAGINARY NUMBER.

IT'S THE NUMBER TO THE VISION WE'RE TRYING TO GO.

WE FULLY ACKNOWLEDGE BECAUSE, YOU KNOW, YOU CAN'T JUST CREATE 18 IMAGINARY EXPERTS TO COME IN AND -- INTO THE CITY.

IT WILL TAKE A WHILE, AS COUNCILMAN PELAEZ SAYS, YOU KNOW, WE HIRE A LOT OF PEOPLE AT OUR COMPANY ALL THE TIME, AND, YOU KNOW, YOU'VE GOT -- YOU'VE GOT TO HIRE AND YOU LOSE ONE AND YOU HAVE TO FIND THE RIGHT ONE OR THEY'LL MOVE ON.

SO, YOU KNOW, THE CITY IS QUITE LARGE.

I'M SURE THEY CAN FIND 18 PEOPLE TO PUT INTO -- INTO THIS -- OR HIRE PEOPLE, BUT WE'RE GOING TO LOOK FOR THE RIGHT PEOPLE.

WE'RE LOOKING FOR PROFESSIONAL PEOPLE.

WE WANT -- AS THE COUNCILMAN SAYS, WE WANT TO INSTITUTIONALIZE HOUSING IN THE CITY, AND YOU CAN'T DO THAT BY JUST REASSIGNMENT.

WE NEED TO HIRE PROFESSIONALS AND PEOPLE THAT WILL DEDICATE THEIR LIVES FOR DECADES TO THE CITY OF SAN ANTONIO AND HOUSING, AND THAT'S THE KIND OF PEOPLE THAT WE'RE TRYING TO PUT INTO THE HOUSING DEPARTMENT.

>> SANDOVAL: THANK YOU VERY MUCH.

AND SO AGAIN, THIS WILL BE GOING -- COMING UP FOR FURTHER DISCUSSION, BUT AT THIS POINT, SHERYL, WHAT -- WHAT ELSE WOULD YOU NEED FROM US? IS THIS JUST A BRIEFING FOR US OR DO YOU NEED ADDITIONAL DIRECTION?

>> SCULLEY: I THINK REINFORCEMENT FROM THE COUNCIL AS DISCUSSED AT THE GOAL-SETTING SESSION, THAT YOU WOULD LIKE TO SEE TO THE EXTENT THAT WE CAN SOME OF THESE RECOMMENDATIONS INCLUDED WITHIN THE PROPOSED BUDGET.

THERE WAS A GENERAL CONVERSATION AT THEE GOAL-SETTING SESSION THAT THE COUNCIL IS INTERESTED -- INTERESTED IN ADDRESSING WHAT WILL COME OUT OF THE TASK FORCE'S RECOMMENDATION, SO IF YOU STILL BELIEVE THAT, THEN WE'LL CONTINUE WORKING ON THAT THROUGH THE SUMMER.

WE DON'T NECESSARILY AGREE ON 18 POSITIONS.

[CHUCKLE] SPECIFICALLY, BUT NONETHELESS, WE'LL BE LOOKING AT THESE RECOMMENDATIONS AND DEVELOPING A PLAN THAT CAN BE IMPLEMENTED OVER TIME.

IF YOU THINK BACK TO THE PRE-K PROGRAM, EVERYONE WANTED IT TO HAPPEN IMMEDIATELY FOLLOWING THE ELECTION, BUT WE DEVELOPED A BUSINESS PLAN THAT WAS ADOPTED BY THE CITY COUNCIL THAT PHASED IN THE PROGRAM OVER THREE YEARS AND IS NOW OPERATING AT A VERY HIGH LEVEL, IN A GOOD WAY.

SO I WOULD ENVISION SOMETHING SIMILAR.

>> SANDOVAL: ALL RIGHT.

THANK YOU.

THANK YOU, MAYOR.

>> MAYOR NIRENBERG: THANK YOU, COUNCILWOMAN SANDOVAL.

COUNCILMAN TREVINO.

>> TREVINO: THANK YOU, MAYOR.

LOURDES, THANK YOU SO MUCH.

I KNOW YOU'VE BEEN WORKING VERY HARD ON THIS, AS WELL AS THE OTHER TASK FORCE MEMBERS, SO I WANT TO THANK ALL OF THEM INDIVIDUALLY.

[02:55:01]

YOU KNOW, THIS IS AN INCREDIBLY TOUGH SUBJECT BECAUSE I THINK WHAT YOU'VE HEARD TODAY IS REALLY -- THERE'S PEOPLE THAT ARE ASKING YOU TO -- TO QUANTIFY SORT OF THE RETURN ON INVESTMENT.

LIKE WHY ARE WE DOING THIS? AND IT'S UNFORTUNATE THAT WE DON'T ALSO PUT VALUE IN SORT OF THE MORAL CHOICE THAT WE'RE MAKING AS WELL.

AND -- AND I THINK -- I THINK THAT -- THAT'S NOT LOST IN WHAT YOU GUYS HAVE PRESENTED.

SO THANK YOU FOR BALANCING THAT.

SO I'LL POINT OUT ONE SPECIFIC THING.

BRUCE, ONLY BECAUSE IT WAS BROUGHT UP, BUT HOW DO YOU CONVINCE SOMEBODY THAT WE SHOULD INVEST IN ROOFS? I WANT TO ASK -- CAN SOMEBODY MAYBE SPEAK TO THAT A LITTLE BIT? BECAUSE I THINK, YOU KNOW, WE'VE HAD ENOUGH CONVERSATIONS AND I THINK A LOT OF PEOPLE HAVE HEARD ME SAY IT ENOUGH, BUT I'D LIKE FOR SOMEBODY FROM THE TASK FORCE TO SPEAK ABOUT IT.

>> WELL, I HEARD EARLIER, WE DON'T GET A ONE-TO-ONE RETURN ON INVESTMENT IN TRYING TO REHAB A HOUSE OR TRYING TO FIX A ROOF.

AS A TASK FORCE WE DISAGREE.

IF YOU ARE REPLACING A ROOF ON A $60,000 HOME AND YOU'RE SPENDING $10,000 REPLACING THAT ROOF, WE DON'T CONSIDER IT THAT YOU'RE SPENDING $10,000 ON A $60,000 HOME.

YOU'RE SAVING $50,000 ON CREATING A NEW HOME.

AND SO IF WE CAN REPLACE A ROOF, PREVENT THE FURTHER DETERIORATION OF A HOME, WE SEE THAT AS A 5 TO 1, A 12 TO 1 RETURN ON INVESTMENT, AND FEEL LIKE THE CHEAPEST HOUSE WE CAN CREATE TODAY IS ONE THAT ALREADY EXISTS AND SAVE.

SO AS A TASK FORCE THAT'S WHAT WE'RE TALKING ABOUT.

>> TREVINO: THANK YOU, GENE, I THINK THAT WAS WELL-STATED.

I WOULD ALSO ADD THAT WHEN I FIRST GOT HERE IN THIS ROLE IN 2014, THE DEMOLITION RATE WAS ABOUT 135 HOMES A YEAR, AND I DON'T KNOW IF ANYBODY KNOWS WHAT THE FIGURE IS TO DEMOLISH A HOME, BUT IT'S NEARLY THE SAME COST AS PUTTING A ROOF ON IT.

AND I THINK THAT -- THAT IS AN IMPORTANT THING TO TALK ABOUT, WE'RE STABILIZING THE NEIGHBORHOODS, WE'RE STABILIZING THE HOUSING, AND AS YOU POINTED OUT IT IS SOMETHING THAT IS A MULTIPLIER OF EFFECTS.

I WOULD ALSO ASK, GENE, TALK TO US A LITTLE BIT ABOUT, AS YOU SAID -- BECAUSE YOU SAID IT REALLY DOESN'T MATTER WHERE THE FUNDING COMES FROM, WE'VE JUST GOT TO GET THE FUNDING.

BUT IT REALLY -- IT KIND OF MATTERS, AND IT KIND OF MATTERS IN THAT WE JUST WANT TO MAKE SURE THAT THE FUNDING THAT WE'RE GETTING DOESN'T -- DOESN'T HAVE A WHOLE LOT OF STIPULATIONS.

THAT'S CORRECT, RIGHT? I KNOW YOU GUYS LOOKED AT A LOT OF FEDERAL FUNDING, AND THE FEDERAL FUNDING, THERE IS A LOT OF STRINGS ATTACHED.

>> WELL, YOU WILL NOTICE IN OUR IMMEDIATE RECOMMENDATIONS, THESE ARE PROGRAMS THAT THE CITY IS CURRENTLY RUNNING.

THE CITY CAN BE FLEXIBLE ON AND WE CAN DEPLOY THE MONEY AND GET IT TO THE FIELD.

WHEN YOU -- MOST OF -- NOT MOST, A LOT OF OUR FEDERAL GRANTS AND OUR FEDERAL MONEY GOES TO MANAGING AND MONITORING AND REPORTING THE FEDERAL DOLLARS THAT WE GET, AND SO, YOU KNOW, DO WE REALLY ACTUALLY CREATE THAT MUCH HOUSING BY THE HOME PROGRAM, CDBG, AND THAT, BECAUSE THERE'S SO MUCH MONITORING AND REPORTING, THAT WE DON'T HAVE WHEN WE GIVE DIRECTLY OR THE CITY SPENDS MONEY ON THEIR OWN PROGRAMS. AND, YOU KNOW, OUR LONG-TERM TENURE PLAN, WE ARE FACING THE REALIZATION THAT WE REALLY THINK THAT THE FEDERAL FUNDING IS GOING TO CONTINUE TO GO DOWN AND WE NEED TO PERFECT, INSTITUTIONALIZE -- I'M LIKING THAT TERM -- WE NEED TO PERFECT THE CITY'S ABILITY TO STEP IN AND REPLACE THOSE PROGRAMS AND DEPLOY THE MONEY.

SO IT'S MUCH MORE EFFICIENT IF WE DO IT AT A LOCAL LEVEL THAN WE DO AT A FEDERAL LEVEL, THAT WE HAVE AN OVERARCHING ONE SIZE FITS ALL, AND IT MAKES IT MUCH MORE DIFFICULT.

>> TREVINO: AGREED.

SO YOU ALSO MENTION RENTERS AND THE DISPROPORTION THAT WE HAVE IN OUR COMMUNITY WITH HOME OWNERSHIP AND RENTERS.

YOU KNOW, THIS IS SOMETHING THAT HAS COME UP QUITE A LOT, AND I KNOW THIS REPORT IS STILL A DRAFT REPORT, BUT I GUESS I WOULD ASK MAYBE SOME MORE CLARITY ON WHAT WE'RE LOOKING AT FOR RENTERS, BECAUSE ONE OF THE OBSTACLES WE HAD ON AN ISSUE THAT -- THAT WE RECENTLY FACED WITH SOME RENTERS AT

[03:00:01]

AN APARTMENT COMPLEX WAS THE AMOUNT OF HELP WE WERE ABLE TO GIVE, THE RENTAL ASSISTANCE, AND THE TIME THAT WE COULD ACTUALLY HELP THEM WITH THAT.

SO CAN YOU TALK TO ME A LITTLE BIT ABOUT THAT? WHAT ARE WE DOING FOR RENTAL ASSISTANCE?

>> YEAH, WELL, WE -- YOU KNOW, WE TALKED ABOUT DISPLACEMENT, AND WE TALKED ABOUT DIRECT AND INDIRECT DISPLACEMENT, AND WE THINK THAT REALLY THOSE MOST VULNERABLE FOR DISPLACEMENT ARE RENTERS.

I MEAN, HOMEOWNERS, YOU KNOW, THEY HAVE DIFFERENT RESOURCES, THEY HAVE THE OWNERSHIP, THEY'RE NOT GOING TO HAVE SOMEONE ELSE COME IN AND SAY WE'RE GOING TO REHAB YOUR FACILITY AND MOVE YOU ON.

YOU'RE GOING TO HAVE TO HAVE AN ADDITIONAL RENT.

A HOMEOWNER ISN'T GOING TO BE MOVED OUT FOR A NEW PROJECT.

SO WE'RE MAINLY TALKING ABOUT RENTERS.

AND SO WE REALLY BELIEVE THAT WE NEED TO ADDRESS THIS HEAD-ON.

WE NEED TO HAVE A CITY FUND, A RESOURCE, SO I -- AND YOU'VE GONE THROUGH THE MOST RECENT HERE UP THE STREET ON A RENTER CRISIS, AS WE'LL CALL IT, AND THE CITY IS NOT REALLY PREPARED.

WE DON'T HAVE THE ON THE GROUND EXPERTS, THE RAPID RELOCATION, THE FUNDS TO HELP PEOPLE, THE COUNSELING.

AND SO WE'RE RECOMMENDING JUST AS GENERAL DISPLACEMENT THE CITY HAVE A -- KIND OF A SINKING FUND TO HELP PEOPLE, BUT WHEN WE HAVE THESE BIG PROJECTS THAT ARE INTENDED TO CREATE ECONOMIC DEVELOPMENT, WE NEED TO CREATE A DISPLACEMENT FUND TO HELP THOSE RENTERS.

JIM, DO YOU WANT TO ADD TO THAT?

>> YEAH, LET ME ADD TO THAT, COUNCILMAN TREVINO.

THANK YOU FOR THE EXCELLENT QUESTION.

SO YOU SAW THE NUMBERS.

WE'RE SHORT 32,000 HOUSING UNITS FOR RENTAL HOUSEHOLDS THAT ARE MAKING LESS THAN 30% AMI.

WE'RE SHORT ANOTHER 3,000 HOUSEHOLDS FOR -- OR UNITS FOR HOUSEHOLDS MAKING 30 TO 60% AMI.

AND THOSE UNITS ARE THE MOST EXPENSIVE TO PROCURE.

YOU KNOW, CURRENTLY THE ONLY WAY WE'RE PUTTING 30% AMI UNITS ON THE GROUND IS THROUGH FEDERAL DOLLARS, THROUGH THE TAX CREDIT PROGRAM, THROUGH TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS.

AND, YOU KNOW, WE'RE AT BEST GETTING 30 TO 50, 30% AMI UNITS A YEAR.

SOME OF THOSE PROVIDERS ARE HERE IN THIS ROOM.

AND I MEAN, THAT'S JUST NOT GOING TO CUT IT, RIGHT? SO ONE OF THE THINGS THAT WE NEED TO DO IS WE NEED TO SATISFYING OUT HOW TO PARTNER WITH OUR [INAUDIBLE] NONPROFITS AND LEVERAGE THE RESOURCES THEY BRING TO THE TABLE, BOTH IN TERMS OF THEIR CREATIVE KIND OF CAPITAL STACKS, CREATIVE FUNDING STRATEGIES, THE SERVICE PROVISIONS THAT THEY BRING TO THE TABLE, AND FIGURE OUT HOW WE CAN GET MORE SUPPLY OF THESE UNITS ON THE GROUND SO THAT IF PEOPLE ARE DISPLACED, THEY DO, IN FACT, HAVE A PLACE TO GO.

SO OUR TEN-YEAR FUNDING PLAN IS NOT DONE.

THAT WAS JUST A -- I MEAN, THAT WAS -- THAT WAS A CARTOON OF IT.

IT WAS LIKE A STICK MAN OF IT.

ONE OF THE THINGS WE'RE GOING TO BE DOING OVER THE COURSE OF THIS NEXT TWO TO THREE WEEKS IS REALLY FLUSHING THAT OUT AND RECOGNIZING IN OUR KIND OF 34REU78 ALLOCATION RECOMMENDATION -- PRELIMINARY ALLOCATION OF THOSE THE MAGNITUDE OF THE PROBLEM.

>> TREVINO: WILL YOU BE INCLUDING PUBLIC IMPROVEMENTS THAT THE CITY OR COUNTY ARE MAKING AS PART OF THE CALCULUS TOWARDS THAT EFFORT?

>> PUBLIC IMPROVEMENTS IN TERMS OF INFRASTRUCTURE, STREETS AND SIDEWALKS, UTILITIES.

>>> YOU KNOW, YOU NAME IT.

IN FACT, I THINK SOMETHING YOU WERE JUST ALLUDING TO WAS [INAUDIBLE] CREEK AS AN EXAMPLE.

>> RIGHT.

>> TREVINO: NO WHEN WE CREATE A NEW CLEAN UP A CREEKWAY OR CLEAN UP A PARK OR WE PUT IN SIDEWALKS, YOU KNOW, THERE'S SOMETHING TO MAKE SURE THAT, YOU KNOW, WE'RE -- WE'RE IN THAT CALC -- WHERE IN THAT CALCULUS ARE WE FIGURING OUT THAT MAYBE THERE'S GOING TO BE AN UNINTENDED COST.

>> I'M GOING TO TURN THAT ONE OVER TO GENE.

>> THAT IS OUR INTENT.

WE DON'T WANT TO TURN EVERY PROJECT THAT THE COUNTY -- AND WE SAID A PUBLIC PROJECT.

WE DID NOT SAY A CITY PROJECT.

WE INTEND IF THERE'S A PROJECT THAT WE FEEL LIKE THAT THE CITY HAS AN INFLUENCE ON, THE CITY IS INVOLVED IN ANY WAY, WE SHOULD REQUIRE AN ECONOMIC ANALYSIS, A DISPLACEMENT ANALYSIS BEFORE THAT GOES FORWARD.

A BIG ANALYSIS LIKE THAT CAN COST $300,000 SO WE WON'T DO IT ON A MILLION-DOLLAR PROJECT.

WE'LL FIND A PROJECT BIG ENOUGH THAT WE REALLY THINK IT COULD CREATE ADJACENT ECONOMIC DEVELOPMENT.

AND WHEN THE STATED PURPOSE, LIKE THE SAN PEDRO CREEK AND THE STATED FUNDING PLAN IS TO PUT IN THE SAN PEDRO CREEK TO INCREASE ADJACENT VALUES TO TAXES GO UP SO THAT MORE TAXES CAN BE COLLECTED TO PAY FOR THE PROJECT, I MEAN, THE WHOLE INTENT OF A SUCCESSFUL PROJECT WOULD HAVE RESULTED IN DISPLACEMENT, BUT THERE'S NOTHING WITHIN THAT STRUCTURE.

WE COULD HAVE KNOWN FIVE YEARS AGO WHEN SAN PEDRO CREEK WAS MOVING FORWARD THAT WE COULD HAVE A NUD PROBLEM, BUT THERE WAS NO BUDGET CREATED EARLY ON.

SO WHAT WE'RE RECOMMENDING

[03:05:01]

IS MORE FORWARD THINKING.

SOUTH S SAN ANTONIO RIVER, $180 MILLION.

STATED PURPOSE, TO IMPROVE THE SAN ANTONIO RIVER, TO INCREASE DEVELOPMENT IN THAT AREA OF OUR CITY.

LET'S DO THE HIKE AND BIKE TRAILS FOR INCREASED ECONOMIC DEVELOPMENT AND WITHIN IT HAPPENS AND WE GET AN APARTMENT COMPLEX TO COME IN, WE HAVE DISPLACEMENT.

EARLY ON THE VERY FIRST DAY WE THOUGHT ABOUT THAT PROJECT, WE COULD HAVE THOUGHT ABOUT DISPLACEMENT AND CREATED A FUND AND AVOIDED THAT PROBLEM.

OR AT LEAST HAD THE RESOURCES TO APPROPRIATELY ADDRESS IT.

SO THAT'S WHAT THIS RECOMMENDATION IS TALKING ABOUT.

>> TREVINO: THANK YOU, GENE.

I THINK YOU GUYS ARE HEADED ON THE RIGHT TRACK AND CERTAINLY APPRECIATE ALL THE HARD WORK.

THIS IS INCREDIBLY COMPLEX.

I REALLY LOOK FORWARD TO LEARNING MORE ABOUT IT AND SUPPORTING YOU ANY WAY I CAN.

I THINK THAT THIS IS A -- NOT ONLY SOMETHING THAT WE SHOULD BE LOOKING AT IN TERMS OF A TECHNICAL SOLUTION BUT A MORAL CHOICE THAT WE'RE MAKING AS WELL.

I MEAN, THIS IS SO IMPORTANT TO ALL OF US AS A CITY, AS A COMMUNITY, AND THANK YOU FOR ALL YOUR HARD WORK.

THANKS, MAYOR.

>> MAYOR NIRENBERG: THANK YOU, COUNCILMAN TREVINO.

COUNCILMAN SHAW, YOU'RE ON THE CLOCK.

[LAUGHTER]

>> SHAW: I'LL KEEP THIS VERY BRIEF, BECAUSE TYPICALLY I DON'T SPEAK.

I LIKE TO UNDERSTAND WHAT I'M TALKING ABOUT BEFORE I START THROWING QUESTIONS OUT, BUT THIS IS ONE OF THE ISSUES THAT I'M TRULY FORTUNATE TO BE INVOLVED IN BECAUSE I THINK A MAJORITY OF US HERE ARE HERE TO TACKLE BIG ISSUES.

IT'S EASY TO SIT DOWN AND KIND OF FOLLOW CITY STAFF AND ALLOW THEM TO DO THE MAJORITY OF THE WORK.

I THINK THE ISSUE THAT WE'RE FACING NOW NOT ONLY AFFECTS DISTRICT 2 BUT IT AFFECTS -- WE HAVE ISSUES OF AFFORDABLE HOUSING IN ALL OF OUR DISTRICTS.

THIS IS A CITYWIDE PROBLEM.

AND LET'S NOT -- IT'S EASY TO SAY NO.

IT'S TOO HARD, IT'S TOO COMPLICATED, IT'S TOO EXPENSIVE.

IT'S TOO EASY.

LET'S TAKE THE HARD ROUTE.

LET'S WORK TOGETHER TO MAKE THIS THING HAPPEN, BECAUSE AT THE END OF THE DAY WE DO REPRESENT THE CONSTITUENTS OF SAN ANTONIO.

I'VE HEARD A LOT OF COMMENTS AND CONCERNS.

SOME WERE VERY DISHEARTENING TO ME, AND THAT'S OKAY, BUT I THINK AS A COUNCIL LET'S WORK THROUGH THOSE CONCERNS AND MAKE THIS HAPPEN.

LET'S NOT GO FOR THE EASY WIN.

LET'S SWING FOR THE FENCE.

WE EITHER HIT A STRIKE-OUT OR WE HIT A HOME RUN.

SO I'M REALLY FORTUNATE, I'M REALLY BLESSED TO BE HERE TO HEAR THIS PRESENTATION TODAY BECAUSE IT CREATES A BIGGER PICTURE OF WHAT WE CAN DO FOR THE CONSTITUENTS OF SAN ANTONIO.

SO THANK YOU.

YOU ALL DID AMAZING WORK.

THE DATA THAT YOU ALL PROVIDED US TODAY IS FOR THE RIGHT REASON.

THERE'S NO HIDDEN AGENDA.

THERE'S NOTHING THAT'S SUPERFICIAL.

IT'S ABOUT PROVIDING HOUSING OPPORTUNITIES FOR THOSE WHO LIVE IN SAN ANTONIO.

TO THANK YOU.

THANK YOU, MAYOR.

>> MAYOR NIRENBERG: THANK YOU, COUNCILMAN SHAW.

THAT IS EVERYONE -- EVERYONE? EXCEPT MARIA.

[LAUGHTER]

>> I STARTED IT AND I WANT TO FINISH IT.

[LAUGHTER] THIS -- THESE WORDS ARE IMPORTANT, BUT THEY'RE ALSO, LIKE, SINCERE -- A SINCERE COMMUNICATION TO THE COUNCIL ON SOMETHING THAT I THINK THAT IF -- IF IT'S NOT THERE, NOTHING IS GOING TO HAPPEN, AND THAT'S THE POLITICAL WILL.

I THINK THIS COUNCIL, WE ASK THAT YOU GIVE -- THAT YOU GIVE US THE DIRECTION TO CONTINUE DOING THIS AND THAT YOU PUT A VERY HIGH PRIORITY ON HOUSING.

AND THE REASON THAT IT'S DIFFICULT IS BECAUSE OF A PROCESS THAT I UNDERTOOK ON MY OWN, SHARED WITH MY COLLEAGUES, AND WE ALL BENEFITED BY THIS BECAUSE THEN THEY INSERTED THEIR OPINIONS AND THEIR WISDOM.

BUT I WENT BACK TO 1997, AND I READ A 1997 MASTER PLAN.

I WENT TO SEPTEMBER OF 2009 AND I READ A STRATEGIC PLAN.

I WENT TO JUNE 2013 AND WE ALL READ WHAT WE CALL OUR BIBLE, AND THAT WAS THE HUD-FUNDED HOUSING NEEDS ASSESSMENT STUDY.

I WENT TO SA2020.

I WENT TO SA TOMORROW.

IN BETWEEN THERE WAS SOMETHING CALLED RENEWSA THAT KIND OF DIED.

THEN THERE ARE A NUMBER OF OTHER STUDIES THAT HAVE BEEN DONE, AND IF YOU GO AND YOU READ ALL OF THEM, SOMEBODY OUT IN THE COMMUNITY AT SOME POINT KEEPS MAKING THE SAME RECOMMENDATIONS.

AND I THINK UNLESS SOMEBODY SAYS, YOU KNOW WHAT? ALL THESE PEOPLE WORK TOGETHER TO COME UP WITH A DAY THAT WE HAD WONDERFUL

[03:10:03]

CONSULTANTS WHO CAME UP WITH REALLY DATA-DRIVEN, BUT WE ALSO HAD THE QUALITATIVE DATA.

WE HAD THE DATA THAT'S PRESENTED BY THE PEOPLE THEMSELVES BASED ON THEIR EXPERIENCE, WANTING TO TELL THEIR GOVERNMENT WITH ALL THEIR SINCERITY, THIS IS WHAT WE NEED, AND WHAT WE DON'T WANT IS TO HAVE ANOTHER STUDY THAT'S GOING TO BE THERE WITHOUT IT BEING IMPLEMENTED.

AND THE REASON THINGS DON'T GET IMPLEMENTED IS BECAUSE THE RESOURCES ARE NOT THERE.

IT'S A POLITICAL WILL, THE DIRECTION LIKE THE CITY MANAGER HAS SAID ABOUT THE BOND PROGRAM AND ABOUT THE PRE-K 4 SA.

THAT'S WHAT WE NEED, BECAUSE I THINK IF THERE IS SOMEBODY -- AND I FEEL VERY STRONGLY THAT THERE NEEDS TO BE SOMEBODY THAT IS CHARGED, AND IT CAN'T BE JUST VERONICA.

IT'S GOING TO BE SOMEBODY THAT CAN TALK TO PLANNING AND ZONING AND URBAN RENEWAL AND HUMAN SERVICES AND CAN TALK TO THE COUNTY AND CAN TALK TO, LIKE -- LIKE A CZAR, SOMEBODY THAT YOU ALL SAY, OKAY, NOT ONLY DO WE HAVE THE POLITICAL WILL TO DO IT, BUT WE'RE GOING TO HAVE SOMEBODY THAT'S CHARGED WITH DOING IT, AND WE'RE GOING TO HOLD THAT PERSON ACCOUNTABLE AND WE'RE GOING TO HAVE FUNDING SO THAT IT CAN GET DONE, BECAUSE WHEN I BROUGHT THIS UP AT ONE OF -- AT ONE OF OUR MEETINGS, I WAS TOLD BY A STAFF PERSON THE REASON THEY DIDN'T GET DONE IS BECAUSE THERE WAS NO FUNDING ALONG WITH IT.

LIKE STUDIES GET DONE BUT THEN THERE'S NO FUNDING THAT GOES WITH IT.

SO THE FUNDING, WHATEVER IT IS TO FUND STAFFING TO GET IT DONE IS WHAT WE NEED.

THE POLITICAL WILL AND THEN RESOURCES TO GET IT DONE.

IF NOT, SOME OF YOU WHO ARE VERY YOUNG ARE GOING TO SIT HERE 30 YEARS FROM NOW SAYING, OKAY, BACK IN 19 -- 2018 WE DID THIS.

AND I WANT TO THANK COUNCILWOMAN SANDOVAL FOR YOUR EXPRESSION OF THE SERIOUSNESS OF THIS AND FOR YOUR MENTION BY COUNCILMAN TREVINO THAT IT'S A MORAL IMPERATIVE.

YOU KNOW, IT'S TIME THAT WE DO THIS AND EXCUSE ALL MY WORDS, BUT THEY'RE IN MY HEART AND I HAD TO LEAVE THEM WITH YOU.

>> MAYOR NIRENBERG: THANK YOU, MARIA AND THANK YOU TO MY COLLEAGUES FOR THE COMMENTS AND TO THE TASK FORCE FOR THE PRESENTATION.

THERE'S NOTHING MORE THAT CAN BE SAID, OTHER THAN WE WILL GET THIS DONE BECAUSE, AS YOU SAID, WE HAVE A PRIORITIES PROBLEM, AND WHAT YOU SAW AND HAVE HEARD OVER THE LAST SEVERAL MONTHS AS THE DETAILS HAVE COME OUT IS THAT WE NO LONGER HAVE A POLITICAL WILL PROBLEM.

WE WILL GET THIS DONE.

THANK YOU ALL.

ALL RIGHT.

WE NOW NEED TO RECESS INTO EXECUTIVE SESSION.

THE TIME IS 5:22 P.M. ON THIS 20TH DAY OF JUNE, 2018.

PURSUANT TO THE AUTHORITY GRANTED BY 551 OF GOVERNMENT CODE SECTION 551., CITY COUNCIL RECESSESES INTO EXECUTIVE SESSION TO DISCUSS THE ECONOMIC DEVELOPMENT NEGOTIATIONS PURSUANT TO SECTION 551 [INAUDIBLE] ECONOMIC DEVELOPMENT, THE PURCHASE LEASE EXCHANGE OR VALUE OF REPROPERTY PURSUANT TO GOVERNMENT CODE SECTION 551.072 REAL PROPERTY AND LEGAL ISSUES RELATED TO PAID LEAVE GOVERNMENT CODE

>> ALL RIGHT.

GOOD EVENING, WE ARE BACK FROM EXECUTIVE SESSION.

NO ACTION WAS TAKEN.

THAT WAS A FORMALITY I HAD TO SAY BECAUSE THE REAL BUSINESS IS SOME CELEBRATIONS AND SOME HONORS THAT WE HAVE HERE IN THE CHAMBERS.

I'M OBVIOUSLY NOT RON NIRENBERG, BUT I GET TO -- I HAVE THE PLEASURE OF KICKING OFF AND STARTING US OFF WITH OUR FIRST CEREMONIAL ITEM, WHICH IS THE BROOKS ACADEMY FOUR LIFTING CHAMPIONS.

IF THE BROOKS POWERLIFTING TEAM WILL JOIN US, WE'D LIKE TO TAKE A QUICK OPPORTUNITY.

AND LET ME TELL THE FOLKS WHO ARE IN THE CROWD -- [APPLAUSE] THE BROOKS ACADEMY OF SCIENCE AND ENGINEERING POWERLIFTING COMPETED AT THE 2018 WORLD EQUIPPED BENCH PRESS COMPETITION IN SOUTH AFRICA.

THE THREE MEMBER GIRLS TEAMS EACH WON A MEDAL IN THEIR RESPECTIVE WEIGHT CLASS.

THE SENIOR STUDENTS, NALLELY, GUTIERREZ AND SAMANTHA BOTH ONE GOLD MEDALS AND LISZETTE WON SILVER.

BIG ROUND OF APPLAUSE FOR OUR GUESTS HERE TODAY.

WE'D LIKE TO OFFER YOU THE MIC IF YOU'D LIKE TO SAY A FEW WORDS.

>> MY NAME IS PIERRE GARCIA.

I'M THE HEAD COACH.

SO BASICALLY WE GOT SECOND PLACE AS A TEAM.

WE HAD TWO GOLD MEDALS AND ONE SILVER MEDAL.

WE ALSO HAD A BEST LIFTER

[03:15:01]

AWARD WHICH IS NALLELY, SO SHE'S ONE OF THE BEST LIFTERS IN THE WHOLE ENTIRE WORLD.

WE ALWAYS -- WE HAVE OVER 400 RECORDS.

WE WIN STATE NATIONALS.

WE'RE JUST HONORED TO BE HERE AND HONORED TO REPRESENT SAN ANTONIO, AND OBVIOUSLY THE UNITED STATES.

MY ASSISTANT COACH IS COACH BAILEY.

SHE HELPS ME WITH THE NUMBERS, SO ALL THIS WAS A TEAM EFFORT, AND JUST VERY EXCITED TO BE HERE AND REPRESENT SAN ANTONIO.

[APPLAUSE]

>> I'M SAMANTHA HEIMRIC, THE TEAM CAPACITY FOR THE PAST TWO YEARS OF THE TEAM, AND THEY WERE ON SO I'M THEIR TEAM CAPTAIN.

WE WENT AND IT WAS A CRAZY TRIP, AND WHENEVER WE WERE OVER THERE WE LIKE GOT TOLD ABOUT -- WE SAW THE OTHER COUNTRIES AND LIKE ALL OF THEM, AND WE WERE LIKE, DANG, LIKE, WE'RE LIKE THREE GIRLS FROM A HIGH SCHOOL REPRESENTING LIKE THE WHOLE NATION.

THERE WAS NO ONE ELSE FROM THE U.S. ON LIKE THE SUB-JUNIOR THAT WE WERE IN, IN THAT CATEGORY, SO WE WERE THE ONLY ONES FROM THE U.S.

REPRESENTING THE U.S. THERE.

SO IT WAS PRETTY COOL TO BE THERE, AND THEN COMING BACK AND LIKE WE'VE BEEN GETTING PUBLICIZED LIKE EVERYWHERE WE GO, ON THE NEWS AND EVERYTHING.

SO YES, IT'S PRETTY COOL.

>> BENCHED 380 POUNDS.

>> I BENCHED 380 AND SHE BENCHED 225, AND SHE BENCHES 285, 290.

[APPLAUSE]

>> THANK YOU, SIR -- THANK YOU, SIR.

WE DO HAVE A COUPLE OF SPEAKERS HERE.

COUNCILWOMAN VIAGRAN.

>> HURRAH! I THANK YOU.

IT IS SO WONDERFUL TO SEE YOU LADIES UP HERE FROM BROOKS IN DISTRICT 3.

I KNOW THIS IS NOT THE FIRST TIME, AS YOU MENTIONED, COACH, THAT YOU'VE BEEN DOING THIS FOR A WHILE, AND Y'ALL HAVE A LEGACY OF CHAMPIONSHIP AND TRAINING HERE WHEN IT COMES TO POWERLIFTING.

AND I WANT TO THANK YOU FOR REPRESENTING, ONE, THE UNITED STATES OF AMERICA; TWO, THE STATE OF TEXAS, SAN ANTONIO, AND THE SOUTH SIDE AND DISTRICT 3.

SO PROUD OF WHAT YOU ALL HAVE ACCOMPLISHED.

YOU GIVE A NEW MEANING TO WHEN WE SAY STRONG, SMART AND BOLD YOUNG WOMEN, AND THANK YOU FOR BEING GREAT REPRESENTATIVES FOR THE ENTIRE CITY OF SAN ANTONIO.

I AM JUST FLOORED AT HOW MUCH YOU CAN BENCH.

IT'S INCREDIBLE, AND I KNOW YOU PROBABLY HAVE OUR MAYOR VERY SCARED AT HOW MUCH YOU CAN LIFT AS WELL.

SO -- [LAUGHTER] THAT'S WHY HE DIDN'T SHOW UP.

[LAUGHTER] SO ANYHOW, THANK YOU ALL SO MUCH, AND CONGRATULATIONS.

MUCH SUCCESS TO YOU IN THE FUTURE, LADIES.

CONGRATS.

[APPLAUSE]

>> THANK YOU, MA'AM.

COUNCILMAN PELAEZ.

>> I AM SUPER-PROUD OF YOU GUYS.

SO I WANT YOU TO KNOW SOMETHING.

THE -- THERE'S -- FOR EVERYBODY IN THE ROOM THERE'S A BIG DIFFERENCE BETWEEN BODY BUILDING AND POWERLIFTING.

BODY BUILDERS, THEY LIFT SMALL AMOUNTS OF WEIGHT SO THAT THEIR MUSCLES WILL LOOK A CERTAIN WAY.

POWER LIFTERS DON'T CARE HOW YOU LOOK.

THEY JUST MOVE ENORMOUS AMOUNTS OF WEIGHT.

AND I MEAN, THE REAL STRENGTH IS WITH Y'ALL GUYS, RIGHT? I KNOW THAT TAKES A LOT OF PRACTICE AND IT TAKES A LOT OF TRAINING.

I'M SUPER-PROUD OF YOU.

THERE'S TWO THINGS I WANT TO POINT OUT.

ONE, THAT THERE'S COACHES IN GERMANY AND IN RUSSIA AND ALL THESE OTHER COUNTRIES OUT THERE WHO ARE SCREAMING AT OUR TEAMS NOW, BE MORE LIKE BROOKS! [LAUGHTER] AND NUMBER TWO, COUNCILMAN SALDANA AND I ARE GOING TO BE MOVING OUT OF OUR OFFICES SOON INTO ANOTHER BUILDING AND THERE'S SOME FURCHT FURNITUE THAT'S GOT THAT NEEDS TO BE MOVED.

[LAUGHTER] SO MAYBE WE CALL YOU GIRLS.

CONGRATULATIONS.

I CAN'T WAIT TO SEE WHAT YOU GUYS DO NEXT YEAR.

>> THANK YOU.

[APPLAUSE]

>> AND I JUST WANT TO ADD HOW PROUD WE ARE OF YOU, AND I'M JUST -- I'M JUST ADMIRING THOSE MEDALS AROUND YOUR NECK.

THOSE LOOK AWESOME, AND YOU SHOULD BE PROUD TO WEAR THOSE AND DISPLAY THEM EVERYWHERE YOU GO.

SO CONGRATULATIONS AGAIN FROM US HERE IN SAN ANTONIO.

THANK YOU.

[APPLAUSE]

>> I'VE BEEN TOLD THEY ALL GOT SCHOLARSHIPS GOING ON TO HIGHER EDUCATION AND SO THEY'VE GOT PLENTY OF MORE GREAT NEWS THAT'S GOING TO COME BACK TO US.

COUNCILWOMAN VIAGRAN, BEFORE -- I WANT TO MAKE SURE I READ INTO THE RECORD THE RECOGNITION THAT YOU'RE RECEIVING.

IT'S A CITATION TO THE BROOKS ACADEMY OF SCIENCE AND ENGINEERING POWERLIFTING TEAM, IN RECOGNITION OF WITHIN GOLD AND SILVER MEDALS AT THE 2018 WORLD EQUIPPED BENCH PRESS COMPETITION, HELD IN SOUTH AFRICA.

GIRLS TEAMS OF LISZETTE,

[03:20:02]

ORTIZ, AND NALLELY GUTIERREZ AND SAMANTHA PROUDLY REPRESENT THE UNITED STATES AND SAN ANTONIO, WINNING A MEDAL.

THE TEAM DEDICATION IS WORTHY OF COMMENDATION SIGNED BY MAYOR RON NIRENBERG.

WE HAVE A STRONG WOMAN TO HELP CELEBRATE WITH A PHOTO.

[APPLAUSE]

>> THANK YOU SO MUCH.

COACH.

SO NEXT WE HAVE THE OFFICIAL CONGRATULATIONS TO THE NEIGHBORHOOD LEADERSHIP ACADEMY GRADUATES, AND SO LET ME READ A LITTLE BIT ABOUT THE DESCRIPTION OF THE FOLKS THAT WE HAVE JOINING US.

THE DISTRICT 7 CLASS OF THE NEIGHBORHOOD LEADERSHIP ACADEMY WILL BE RECOGNIZED BY THE MAYOR AND COUNCIL.

THE NEIGHBORHOOD LEADERSHIP ACADEMY, NLA, IS A FOUR-MONTH PROGRAM DESIGNED TO BRING EMERGING LEADERS TOGETHER FROM NEIGHBORHOOD ASSOCIATIONS WITHIN DISTRICT 7 TO ENHANCE THEIR LEADERSHIP, ADVOCACY AND PROBLEM SOLVING SKILLS.

PARTICIPANTS LEARN HOW TO ACCESS CITY RESOURCES, BECOME INVOLVED IN THE BUDGET PROCESS, AND USE SOLUTIONS TO HELP TRANSFORM THEIR NEIGHBORHOODS INTO VIBRANT COMMUNITIES, RICH IN DIVERSITY AND OPPORTUNITY.

SO I'D LIKE TO CALL FORWARD VERONICA SOTO FOR THIS PRESENTATION.

>> GOOD EVENING TO EVERYONE, AND WELCOME TO THE OFFICIAL GRADUATION OF THE 2018 NEIGHBORHOOD LEADERSHIP ACADEMY.

THIS IS THE FOURTH YEAR THAT THE LEADERSHIP ACADEMY HAS BEEN HELD, AND THIS IS THE FIRST TIME THE PROGRAM HAS BEEN OFFERED IN DISTRICT 7 BY THE NEIGHBORHOOD AND HOUSING SERVICES DEPARTMENT.

105 SERVANT LEADERS FROM COUNCIL DISTRICTS 2 AND 3 HAVE COMPLETED THE ACADEMY BEFORE THIS YEAR, AND TODAY WE ARE ADDING AN ADDITIONAL 40 GRADUATES TO THIS LIST.

WE'RE VERY, VERY GRATEFUL FOR ALL THE GRADUATES BECAUSE THEY TOOK TIME OUT OF THEIR BUSY SCHEDULES FOR A FIVE-MONTH PROGRAM.

AND THEY DID THIS BECAUSE THEY WANT TO HELP MOVE OUR COMMUNITY FORWARD.

WE'RE EXCITED THAT THESE 40 INDIVIDUALS ARE GRADUATING FROM THE LEADERSHIP ACADEMY FOR DISTRICT 7 THIS EVENING, AND THAT OVER THE PAST FIVE MONTHS THEY HAVE WORKED -- THEY HAVE LEARNED HOW THE CITY WORKS, THEY HAVE LEARNED EFFECTIVE TOOLS TO BE ADVOCATES AT CITY HALL AND FOR THEIR NEIGHBORHOODS, HOW TO BE INVOLVED IN THE BUDGET PROCESS, WHICH HAS STARTED.

THEY HAVE TAKEN A DEEP DIVE INTO HOW 311 CITY SERVICES CAN HELP THEM, HEARD A LOT OF INFORMATION FROM VARIOUS DEPARTMENTS, INCLUDING ANIMAL CONTROL SERVICES, SOLID WASTE, TRANSPORTATION & CAPITAL IMPROVEMENTS, POLICE POLICE DEPARTMENT, OUR DEVELOPMENT SERVICES DEPARTMENT.

THEY TOOK ON A [INAUDIBLE] ONE-ON-ONE CLASS WHICH IS ALWAYS FUN BECAUSE IT IS ALWAYS, ALWAYS CONTROVERSIAL, AND THEY HAVE LEARNED TIPS FOR HOW TO BE BETTER LEADERS, HOW TO USE SOCIAL MEDIA, HOW TO COMMUNICATE EFFECTIVELY, HOW TO BUILD THEIR MEMBERSHIP, AND AGAIN, HOW TO BE THE BEST LEADERS FOR THEIR NEIGHBORHOOD ASSOCIATION.

AND THIS YEAR WE ALSO HAD STATE REPRESENTS -- STATE SENATOR JOSE MENENDEZ, STATE REPRESENTATIVE JUSTIN RODRIGUEZ, APPEAR AND SPEAK TO THE ACADEMY AS WELL.

SO IT IS CRITICAL FOR THE GRADUATES WHO ARE HERE TONIGHT WHO WILL RECEIVE THEIR CERTIFICATES TO CONTINUE TO HAVE THEIR LEADERSHIP GUIDE THEIR NEIGHBORHOOD ASSOCIATIONS.

IT IS HOW WE HELP MOVE THE COMMUNITY FORWARD.

WE HOPE THAT THEY CONTINUE TO SHARE THE KNOWLEDGE THAT THEY HAVE GAINED WITH THEIR NEIGHBORS, THAT THEY EMPOWER THEIR COMMUNITY, AND THAT THEY CONTINUE TO ADVOCATE FOR THEIR ISSUES AND THEIR NEIGHBORHOODS.

AND ALSO, OF COURSE, WE WANT THOSE VOICES TO CONTINUE AND THAT THEY CONSIDER APPLYING FOR VOICE OF THE NEIGHBORHOODS MATTERS.

THE IDEAS THAT THE NEIGHBORHOOD ASSOCIATIONS BRING FORWARD MATTERS, AND THAT IS ONE WAY THAT THESE CITIZENS, WHO ARE NOW CITIZEN LEADERS, BETTER INFORMED ABOUT HOW CITY GOVERNMENT WORKS, CAN SHAPE OUR CONTINUED FUTURE.

SO WITH THAT I WOULD ASK

[03:25:01]

COUNCILWOMAN SANDOVAL, AND I THINK -- WAS IT MAYOR PRO TEM WHO WAS ALSO GOING TO TAKE A PICTURE AND HELP HAND OUT CERTIFICATES, AS OUR STAFF HANDS OUT THE CERTIFICATES.

AND I WOULD BE REMISS IF I DIDN'T THANK OUR STAFF, BARBARA, ERICA,Y RIS, WHO PUT THE --Y IRIS WHO PUT THE PROGRAM TOGETHER.

SO BARBARA WILL CALL OUT THE NAMES AS WE HAND OUT THE CERTIFICATES.

THANK YOU, BARBARA.

>> YOU'RE WELCOME.

>> CONGRATULATIONS.

>> DELILAH DELGADO.

-- AGUILAR.

SORRY.

MUCH.

[APPLAUSE] [APPLAUSE] MONICA AVILA.

[APPLAUSE] RICK BANE.

[APPLAUSE] DANIEL BAIRD.

[APPLAUSE] ANTOINETTE CARDENA.

[APPLAUSE] NICOLE COLLADO.

[APPLAUSE] DAVID COVERT.

[APPLAUSE] MEDI DIGREER.

[APPLAUSE] DIANNA DIAZ.

[APPLAUSE] SALINA ESCAMILLA.

[APPLAUSE] [LAUGHTER] [APPLAUSE] ANDREA GARZA.

[APPLAUSE] MARY KATHERINE GLASS.

[APPLAUSE] CAROLINE GONZALES ATWOOD.

[APPLAUSE] ELENA GUAJARDO.

[APPLAUSE]

[03:30:10]

TED GUERRA.

[APPLAUSE] CARLOS HERNANDEZ.

[APPLAUSE] GARY HUDMAN.

[APPLAUSE] DIANE KIRKLAND.

[APPLAUSE] PHILIP MANNA.

[APPLAUSE] ROGER PLASS.

[APPLAUSE] OPHELIA REYNA.

[APPLAUSE] ELIA REYNA.

[APPLAUSE] RUBEN SANCHEZ.

[APPLAUSE] JOSE ANTONIO SANCHEZ.

[APPLAUSE] SYLVIA SMITH.

[APPLAUSE] ROXANNA VARGAS.

[APPLAUSE] GRACE VILLAREAL.

[APPLAUSE] WILLIAM VIVENS.

[APPLAUSE] AND STANLEY WAGHALTER.

[APPLAUSE]

[03:35:19]

>> COUNCILWOMAN SANDOVAL.

>> THANK YOU, MAYOR PRO TEM.

FIRST AND FOREMOST TO THE DISTRICT 7 LEADERSHIP -- SORRY, THE LEADERSHIP -- NEIGHBORHOOD LEADERSHIP ACADEMY PARTICIPANTS FROM DISTRICT 7.

CONGRATULATIONS, AND YOU DID IT.

WHEN I ASKED FOR THE NEIGHBORHOOD LEADERSHIP ACADEMY TO COME TO DISTRICT 7, THE STAFF ASKED ME, WELL, DO YOU KNOW 40 RESIDENTS WHO ARE READY TO LEAD? AND I THOUGHT TO MYSELF, YOU MUST NOT KNOW DISTRICT 7, BECAUSE IT'S PRETTY EASY TO COME BY 40 RESIDENTS WHO ARE READY TO LEAD.

AND THE PASSION FOR SERVICE IS EVIDENT, AND YOU -- AMONG YOU AND AMONG YOUR NEIGHBORS, AND ANYONE WHO LOOKS OUT IN DISTRICT 7.

THROUGH PARTICIPATING IN THE ACADEMY YOU HAVE ALL DEMONSTRATED YOUR COMMITMENT TO BECOMING THE BEST NEIGHBORHOOD LEADER POSSIBLE, AND OUR COMMUNITY IS BETTER FOR IT.

TODAY WE CELEBRATE YOUR PASSION FOR SERVICE AND THE FUTURE THAT WE CAN REALIZE WHEN NEIGHBORS WORK TOGETHER AND MAKE CHANGE HAPPEN.

BECAUSE OF RESIDENTS LIKE YOURSELVES, OUR CITY IS ONE IN WHICH NEIGHBORHOODS CAN GROW INTO VIBRANT, STRONG COMMUNITIES.

I HOPE YOU KNOW THAT I WILL BE LOOKING TO YOU TO LEAD IN YOUR NEIGHBORHOODS, TO LEAD ON BOARDS AND COMMISSIONS, TO LEAD ON SO MANY PROCESSES, PUBLIC PARTICIPATION PROCESSES THAT HAPPEN HERE AT CITY HALL AND OUT IN THE COMMUNITY, SO THAT WE CAN ENSURE THAT DISTRICT 7 THRIVES.

I ALSO WANT TO THANK ALL OF YOUR FAMILIES.

SOME OF THEM ARE HERE, FOR SUPPORTING YOU IN THIS PROCESS, FOR GIVING OF THEMSELVES AS WELL, BY TAKING YOU TO YOUR MEETINGS, BEING PRESENT AT THE MEETINGS AND DOING WITHOUT YOU FOR THOSE MANY HOURS THAT YOU HAD TO PARTICIPATE.

SO THANK YOU VERY MUCH FOR ALL THOSE FAMILY SUPPORTERS AND TO THE UNIVERSITY PARK BABY.

WHERE IS SHE? [LAUGHTER] THANK YOU VERY MUCH FOR PARTICIPATING.

SO THANK YOU, PARTICIPANTS, AND I DO WANT TO GIVE A VERY SPECIAL THANK YOU TO THE NEIGHBORHOOD AND HOUSING SERVICES DEPARTMENT FOR MAKING SURE THAT SAN ANTONIO AND DISTRICT 7 HAD THIS OPPORTUNITY.

CONGRATULATIONS.

[APPLAUSE]

>> COUNCILMAN PERRY?

>> PERRY: YES, I JUST WANT TO OFFER MY CONGRATULATIONS ALSO, BECAUSE IT DOES TAKE A COMMITMENT, AND THIS ISN'T THE END.

THIS IS REALLY JUST THE BEGINNING, SO YOU HAVE TO MAINTAIN THAT COMMITMENT AND GET INVOLVED, LIKE COUNCILWOMAN SANDOVAL SAID, GET INVOLVED IN THOSE COMMITTEES AND BOARDS THAT YOU CAN OFFER YOUR SERVICES TO LEAD IN YOUR NEIGHBORHOOD AND CONTINUE THAT HERE FOR THE CITY OF SAN ANTONIO AND YOUR DISTRICT.

SO CONGRATULATIONS AGAIN.

THANK YOU.

[APPLAUSE]

>> COUNCILMAN PELAEZ?

>> PELAEZ: SO I'M HAVING A DIFFICULT TIME DECIDING WHO I'M MORE IMPRESSED BY, THE POWER LIFTERS OR THE NEIGHBORS OF DISTRICT 7, AND I GOT TO TELL YOU, WHAT YOU'VE ACCOMPLISHED IS SOMETHING VERY SERIOUS, AND, YOU KNOW, FOR YOUR FAMILIES THAT SHOWED UP TO SUPPORT YOU, I HOPE THAT THEY REALIZE THAT THE TIME YOU TOOK AWAY FROM, YOU KNOW, SPENDING WITH THEM TO INVEST IN LEARNING HOW TO BE A BETTER LEADER AND A BETTER ADVOCATE FOR YOUR COMMUNITY IS TIME WELL SPENT.

AND -- BOY, CAN YOU IMAGINE THE WORLD -- IF THE WORLD WAS FILLED WITH PEOPLE LIKE YOU? HOW MUCH BETTER OFF WE WOULD BE AND HOW LESS FRACTURED WE ARE? AND SO THANK YOU FOR DOING YOUR PART TO FILL IN THOSE LITTLE FRACTURES, AND I HOPE THAT IT CATCHES ON, AND NOW I'M REALLY ENVIOUS THAT DISTRICT 8 DOESN'T HAVE A LEADERSHIP NEIGHBORHOOD -- SO I HOPE COUNCILWOMAN VIAGRAN DOESN'T MIND ME TOTALLY STEALING THIS IDEA AND TAKING CREDIT FOR IT.

SO CONGRATULATIONS.

>> THANK YOU, EVERYBODY, THAT CAME OUT TODAY TO -- AND CONGRATULATIONS TO ALL THE MEMBERS OF THE LEADERSHIP ACADEMY.

I THINK YOU'RE RIGHT, COUNCILMAN, WE SHOULD ALL STEAL THIS GREAT IDEA AND BRING IT TO OUR DISTRICTS.

SO I THANK YOU ALL SO MUCH FOR BEING HERE.

THIS CONCLUDES OUR CEREMONIALS AND WE WILL BE ON WITH CITIZENS TO BE HEARD.

[APPLAUSE]

* This transcript was compiled from uncorrected Closed Captioning.